US banks allowed to provide cryptocurrency storage services

The Office of the Comptroller of the Currency of the United States has authorized all national banks to provide custody services for digital assets.

The open letter said that for a new type of deposits, banks can use cryptocurrency wallets with unique cryptographic keys. Organizations can provide similar services to individuals and legal entities, including cryptoindustry companies, subject to their compliance with legal regulations and an effective risk management system..

The regulator believes that banks can offer investors services with a higher level of security compared to products currently on the market. At the same time, consumers will be confident that the regulated organization does not lose their private keys..

American Banks Allowed to Hold Crypto | Bitcoin News Summary July 27, 2020

US banks allowed to provide cryptocurrency storage services

The letter from the Office of the Comptroller of the Currency also states that financial markets are becoming more technological, and over time, the demand for innovative products will only increase. Therefore, banks now need to understand and start working with a new class of assets to work out risk management mechanisms and adjust their strategic development plans..

It will be easier for financial institutions to comply with AML / CFT standards for crypto payments as ING recently developed a protocol to track movement of digital assets.

text: Ivan Malichenko, photo: mcall

US banks allowed to provide cryptocurrency storage services

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