The U.S. Federal Deposit Insurance Corporation announced new guidance allowing banks to engage in cryptocurrency activities without prior approval, emphasizing the importance of adequate risk management.
New Guidance for Banks
According to the Financial Institution Letter FIL-7-2025, FDIC-supervised banks can now participate in permitted cryptocurrency-related activities without prior approval, provided they adequately manage the risks involved.
FDIC's Stance Change
The announcement rescinds the 2022 guidance (FIL-16-2022). FDIC Acting Chairman Travis Hill stated, 'With today’s action, the FDIC is turning a new page on the flawed approach of the last three years.'
Risk Management and Cooperation
The new guidance confirms that banks can engage in crypto-related activities as long as they implement appropriate risk management measures. The FDIC also noted that it will continue to collaborate with the President’s Digital Asset Markets Working Group and other banking regulators to improve policies governing digital asset activities.
The new guidance highlights the FDIC's commitment to adapting to modern financial realities while ensuring the safety and soundness of the banking system in relation to digital assets.
