One of many federal financial institution regulators within the U.S., and the one one which charters nationwide banks, is in search of public enter on the way it regulates new applied sciences and digital banking actions, together with cryptocurrencies and blockchain instruments.
In a sophisticated discover of proposed rulemaking printed Thursday, the Workplace of the Comptroller of the Forex (OCC) stated it was reviewing its laws round digital financial institution actions to make sure that these laws “proceed to evolve with developments within the trade.”
The discover, one in all two printed Thursday, was signed by Appearing Comptroller of the Forex Brian Brooks, the previous chief authorized officer of Coinbase who took workplace at OCC final week.
In an emailed assertion, OCC spokesperson Bryan Hubbard stated:
“The request for stakeholder remark is a part of the OCC’s dedication to accountable innovation and aligned with our understanding that banks should be capable to evolve to satisfy the wants of the customers, companies, and communities that depend on them. Our position is to make sure there’s a clear, supportive regulatory framework for banks to take action. The request for feedback helps guarantee we hear from stakeholders of every kind on these essential points.”
The discover particularly requested what kind of cryptocurrency-related actions banks and different monetary establishments are at present engaged in, and what actions prospects interact in that affect banks.
“What are the boundaries or obstacles, if any, to additional adoption of crypto-related actions within the banking trade? Are there particular actions that ought to be addressed in regulatory steerage, together with laws?”
Individually from crypto property particularly, the discover requested about using distributed ledger expertise (DLT) in banking actions and – as with the crypto-related actions part – requested if there are any particular points that must be clarified.
“What new funds applied sciences and processes ought to the OCC concentrate on and what are the potential implications of those applied sciences and processes for the banking trade? How are new funds applied sciences and processes facilitated or hindered by current regulatory frameworks?” the submitting stated.
The discover additionally briefly addressed Brooks’ suggestion that his workplace might situation a nationwide constitution for cryptocurrency exchanges, which might basically enable it to bypass the state-by-state framework that proper now requires corporations to safe 50 cash providers enterprise (MSB) registrations to function nationwide.
“The OCC will not be in search of touch upon its authority to situation a particular goal nationwide financial institution constitution,” it stated.
In an announcement, Blockchain Affiliation govt director Kristin Smith stated, “It’s heartening to see a high banking regulator perceive the facility of cryptocurrency. The discover at the moment signifies that Appearing Comptroller Brooks is severe about modernizing banking laws in order that innovators can deliver new options to the legacy monetary system.”
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