The Federal Reserve (FED) brings good news to encryption companies: the policy implemented for many years will be canceled

The Federal Reserve (FED) has lifted the "reputational risk" policy that hindered encryption companies from accessing banking services. This decision is seen as another significant obstacle eliminated for the industry.
The Federal Reserve (FED) of the United States has announced the cancellation of the 'reputation risk' policy affecting encryption currency companies, which has been in place for many years. The official statement indicates that banks will no longer consider reputation risk factors in regulation.

Based on this, the term in the supervisory guidance will be removed, and auditors will receive training focused on specific financial risks. Jerome Powell, the chairman of The Federal Reserve (FED), stated at the February banking committee meeting that they will remove the reputation risk assessment from the guidance. Prior to The Federal Reserve (FED), large bank regulatory agencies such as the OCC and FDIC have also made the same decision.

A major obstacle for the encryption company has been eliminated
The application hinders the ability of encryption companies to access banking services. These companies often encounter problems in opening bank accounts or obtaining related services because they are considered "high risk" or "potentially damaging to reputation" by banks. One of the people who directly express these concerns is Brian Armstrong, CEO of Coinbase. Due to concerns about being warned under the supervision of The Federal Reserve (FED) and other regulatory agencies due to "reputational risk", banks are generally more inclined to not accept customers from the encryption industry.

After OCC and FDIC, finally The Federal Reserve (FED) also stopped this practice, which is expected to make the encryption industry more accessible to the traditional banking system. It is believed that this development will provide significant relief for American encryption companies in the process of opening accounts and sustainable access to financial services.
#Crypto Market Rebound# #Bitcoin Reserve Bill#