FDIC Unveils New Guidance for Banks to Embrace Crypto Activities

In a significant regulatory shift, the Federal Deposit Insurance Corporation (FDIC) announced today that FDIC-supervised institutions can now engage in permissible crypto-related activities without prior approval. This new guidance, encapsulated in Financial Institution Letter FIL-7-2025, replaces the previous FIL-16-2022 and aims to streamline the process for banks venturing into crypto-assets and digital technologies.

 

Acting Chairman Travis Hill emphasized that this move marks a departure from the restrictive policies of the past three years, stating, “With today’s action, the FDIC is turning the page on the flawed approach.” The guidance allows banks to explore emerging technologies while ensuring they manage associated risks effectively.

 

The FDIC plans to continue collaborating with the President’s Working Group on Digital Asset Markets and anticipates issuing further clarifications regarding specific crypto-related activities. This initiative is part of a broader effort to enhance regulatory clarity and foster innovation within the banking sector.

 

As banks gear up for this new era of financial technology, they are encouraged to adopt robust risk management practices to navigate the evolving landscape of digital assets.

 

Sources: FDIC Press Release Investing.com