The Federal Reserve has announced a new approach to regulating the interaction of banks with cryptocurrency companies. This decision is expected to impact the entire financial industry and the volatile cryptocurrency market.
Announcement by Jerome Powell
On June 23, 2025, Federal Reserve Chairman Jerome Powell announced that U.S. banks could freely offer services to cryptocurrency firms, provided they follow appropriate risk management standards. This shift in policy aims to improve regulatory clarity, potentially fostering institutional investment in cryptocurrencies.
Market Reaction to the Announcement
Powell's announcement triggered a significant market response, with Bitcoin and Ethereum prices experiencing notable surges. Institutions began actively investing in Bitcoin through ETFs, reflecting increasing confidence in the market from major investors.
Prospects and Consequences for the Banking System
This regulatory change may lead to improved conditions for banks considering entry into the crypto market. Increased confidence in digital assets could unlock new business opportunities and technological advancements within the traditional banking system. Powell noted, 'U.S. banks are free to provide services to cryptocurrency firms, provided they adhere to appropriate risk management protocols.'
The Federal Reserve's announcement about allowing banks to serve cryptocurrency companies opens new horizons for financial institutions and may promote further development of both the banking sector and the cryptocurrency market.
