US Regulator Highlights Broad Opportunities for Banks in Cryptocurrency Operations

American banks can conduct crypto transactions at the request of clients, provide custodial services through third parties, and also prepare tax reports on digital assets. This is outlined in the clarification by the OCC.

OCC-regulated banks may buy and sell assets held in custody and are permitted to outsource bank-permissible crypto-asset activities, including custody and execution services. https://t.co/0ScQdgNaS6 pic.twitter.com/J5dEkx4WUL

— OCC (@USOCC) May 7, 2025

The OCC regulates and supervises the activities of banks and savings associations at the federal level.

In February, US President Donald Trump nominated Jonathan Gould for the position of head of the OCC at the US Treasury. According to Ron Hammond of the Blockchain Association, if his candidacy is approved, the agency will simplify the creation of a regulatory framework for cryptocurrencies.

In March, the OCC revised its 2021 position and revoked the requirement for prior approval from the regulator for banks planning to engage in activities related to digital assets.

In January, the US Securities and Exchange Commission rescinded rule SAB 121, which effectively prohibited banks from holding cryptocurrencies.

In March, the FDIC allowed supervised financial institutions to conduct “digital asset-related activities” without the need for prior agency consent.

In April, the US Federal Reserve announced the repeal of guidelines that had deterred banks from working with cryptocurrencies. 

The Federal Reserve, FDIC, and OCC also withdrew two 2023 recommendations that warned against fraud related to digital assets. The withdrawn joint statements indicated that unclear or misleading data from crypto companies could harm both private and institutional investors. 

Earlier, US Senator Cynthia Lummis described the repeal of the mentioned Federal Reserve recommendations as “noise.”