US Banks No Longer Need to Notify FDIC Before Crypto Activity: Rule Change

• The FDIC allows banks to engage in crypto activities without prior approval.
• The decision rescinds a prior notification requirement, promoting smoother integration of digital assets.
• Industry leaders, including Cardano’s Charles Hoskinson, applaud the move as a significant win for crypto.

The Federal Deposit Insurance Corporation (FDIC) clarified its stance on crypto-related banking activities Friday, drawing praise from industry leaders like Cardano founder Charles Hoskinson.

The US banking regulator announced it rescinded FIL-16-2022. This 2022 policy had required FDIC-supervised institutions to first notify the agency before engaging in digital asset services. The FDIC’s new guidance effectively allows these banks to now offer approved crypto-related services without seeking prior agency permission, a change seen as potentially encouraging more institutional participation in the space.

Related: Ripple CTO Slams FDIC’s Crypto Roadblocks Amid Coinbase Court Revelations

What Rules Must Banks Still Follow for Crypto Services?

On March 28, the FDIC announced the rescission of FIL-16-2022, a policy issued in April 2022 that required banks under its …

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