In a landmark policy reversal, the U.S. Office of the Comptroller of the Currency (OCC) has officially authorized national banks and federal savings associations to buy, sell, and custody cryptocurrencies on behalf of their customers. The shift marks a significant turning point in U.S. banking regulation, aligning more closely with the evolving digital asset landscape.
A Historic Shift in Crypto Banking
Acting Comptroller of the Currency Rodney Hood announced the OCC’s updated position in a public statement, calling cryptocurrency not just a passing trend but a “transformation” that the federal banking system must embrace.
“We’ve confirmed that national banks and federal savings associations may engage in certain cryptocurrency activities responsibly, in order to serve their customers,” Hood stated in a video briefing. His remarks reflect a broader willingness among federal regulators to adapt to the rising demand for crypto-based financial services.
What Banks Are Now Allowed to Do
Under the new guidance, OCC-regulated banks can:
- Buy and sell cryptocurrencies held in custody at the direction of customers
- Provide crypto custody services, including secure storage of private keys
- Outsource custody and execution services to qualified third-party providers
- Offer related services such as trade execution, transaction settlement, record keeping, valuation, tax reporting, and more
Importantly, all activities must comply with the OCC’s stringent risk management and safety standards. Banks are expected to implement appropriate oversight mechanisms, whether conducting services in-house or through third parties.
Regulatory Alignment Across Federal Agencies
This decision comes on the heels of several pro-crypto moves by other U.S. regulators. In late April, the Federal Reserve removed a requirement for state-chartered banks to notify the Fed before engaging in crypto activities. The Fed also withdrew restrictive 2023 guidelines related to stablecoin handling.
Simultaneously, the Federal Deposit Insurance Corporation (FDIC) and the OCC retracted two key joint statements from the previous year that had imposed limits on bank-crypto engagement.
In January, the SEC removed a rule that previously forced banks to list custodial crypto holdings as liabilities, easing a significant compliance burden and signaling growing institutional acceptance of digital assets.
What It Means for the Industry
The OCC’s updated stance could unlock major growth opportunities for banks and crypto firms alike. Institutions seeking to lower borrowing costs and increase legitimacy are already eyeing banking charters. With custody and trading now on the table, traditional banks are poised to become major players in crypto finance.
By aligning with customer demand and advancing regulatory clarity, the OCC is effectively ushering in a new era where digital assets are integrated into the core of U.S. financial infrastructure.
Final Thoughts
As U.S. regulators converge toward a more crypto-friendly stance, the OCC’s announcement cements the growing role of digital assets in mainstream banking. For both institutions and consumers, this could mean more secure, accessible, and regulated crypto services in the years ahead.
