The US Bureau of Currency Controller (OCC), an independent office of the US Treasury Department, issued a public letter today explaining that US banks and federal savings associations have the right to hold cryptocurrency assets for their clients.
American banks open to cryptocurrencies
Today’s announcement is not a change from a previous policy, but rather in response to a request for clarification from an unknown party. The OCC writes that banks have been able to deposit digital assets with them since 1988, and Bitcoin and other cryptocurrencies are simply a newer version of the same concept.
This means US federally licensed banks and savings associations are free to store cryptocurrency assets for customers, whether they hold private keys or provide other storage and protection services for this type of data.
“From safe deposit boxes to virtual vaults, we need to ensure that banks today can meet their customers’ financial services needs.”
– Brian P. Brooks, acting auditor, announced in a press release.
“This opinion explains that banks can continue to meet the needs of their clients to protect their most valuable assets.”
Brooks added. He believes that for “Tens of millions of Americans include cryptocurrencies.”
The most important news for the market for years
– This is probably the most important news about cryptocurrencies in the last two years Christopher Robins, head of Binance.US Legal and Regulatory, added in his statement. – The OCC stating that national banks and federal savings associations can provide cryptocurrency storage services is a huge step in promoting the wider use of cryptocurrencies – added.
“This letter illustrates the market demand and willingness to use custody services at the banking level”
The cryptocurrency analytical center Coin Center, which has advocated such a step for years, praises this announcement in the post on your blog. According to the institution, while cryptocurrencies allow users to manage their own money without the need for a central intermediary such as a bank, some customers may still want additional bank protection, especially for larger amounts.
“Accepting the fact that centralized cryptocurrency storage entities are inevitable and necessary, it is great news that thanks to the new OCC policy, competition in the provision of these services will be even greater”
– wrote the research director of the Coin Center, Peter Van Valkenburgh.