In a landmark move, the Office of the Comptroller of the Currency (OCC) has officially authorized OCC-regulated banks to buy, sell, and provide custody for cryptocurrencies on behalf of their customers. The shift marks a significant pivot from the agency’s previously cautious stance on digital assets.
According to a statement from Acting Comptroller Rodney Hood, the federal agency now views crypto not as a passing trend but as a transformative force in the financial system.
“We’ve confirmed that national banks and federal savings associations may engage in certain cryptocurrency activities responsibly, in order to serve their customers,” Hood said in a video message.
What Banks Can Now Do with Crypto
Under the updated guidance, national banks and federal savings associations can now:
- Buy and sell crypto assets held in custody at the customer’s direction
- Provide crypto custody services, including record keeping, valuation, tax reporting, and transaction execution
- Outsource crypto custody or trading services to third-party providers—so long as proper risk management and oversight standards are maintained
These permissions also allow banks to act as sub-custodians or fiduciaries, supporting more advanced roles in crypto infrastructure. In an official OCC bulletin issued on May 7, the agency emphasized that all crypto-related activities must comply with federal banking safety and soundness guidelines.
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“The OCC expects all digital asset activity to be conducted safely, soundly, and in full compliance with applicable laws,” Hood added.
OCC Joins Broader Federal Shift Toward Pro-Crypto Banking
This development is part of a broader regulatory thaw under the current administration, as more federal agencies begin to embrace blockchain innovation and crypto-enabled finance.
In late April, the Federal Reserve eliminated a previous requirement for state banks to notify the Fed before engaging in crypto activities. It also rescinded its 2023 restrictions on stablecoin involvement, signaling a major rollback of earlier limitations.
Shortly afterward, the Federal Deposit Insurance Corporation (FDIC) and the OCC withdrew from two joint policy statements issued in 2023 that had discouraged crypto banking relationships.
The Securities and Exchange Commission (SEC) followed suit earlier this year, removing a controversial rule that forced banks to list crypto holdings as liabilities—effectively easing capital pressure on institutions with digital asset exposure.
Crypto Firms Eye Bank Charters as Regulatory Landscape Evolves
In parallel with these developments, several crypto firms have expressed interest in applying for U.S. banking licenses, aiming to:
- Reduce borrowing costs
- Expand service offerings
- Gain greater regulatory legitimacy with institutional clients
A federal bank charter would give crypto companies access to traditional financial rails and boost public trust—two major advantages as the sector matures.
