In a sign of evolving attitudes toward digital assets, recent developments in the US suggest a shift in the approach to crypto regulation.
FDIC Removes 'Reputational Risk' from Supervisory Practices
The Federal Deposit Insurance Corporation (FDIC) has announced plans to eliminate the use of 'reputational risk' in bank supervision. This move is hailed as an essential step towards a more transparent and fair regulatory environment for blockchain-based businesses. Senior FDIC officials argue that traditional risk channels like credit and market risks are more effective for supervision. Previously, 'reputational risk' was widely criticized for its uncertainty and subjectivity, often cited as a reason to deny banking services to companies in the digital sector.
Industry and Lawmaker Reactions
The crypto industry has responded positively to the FDIC's decision, viewing it as a step toward reducing barriers to institutional interaction. While the change does not instantly clarify regulations or ensure crypto companies access, it is an initial measure towards a more inclusive policy. Lawmakers, including Dan Meuser, previously advocated for these changes, providing recommendations for better digital asset policy.
SEC Closes Investigation into Immutable
The US Securities and Exchange Commission (SEC) has ended its investigation into the gaming platform Immutable, finding no grounds for sanctions. This development has been positively received in the GameFi space, which has long faced regulatory uncertainty. Immutable stated that this is a significant step towards regulation with clear rules.
The changes in FDIC and SEC approaches indicate a loosening of regulatory pressure on digital assets, potentially fostering development and innovation in this sector.