The Office of Currency Controllers (OCC) published a letter a few weeks ago stating that US banks can store cryptocurrencies on behalf of their clients. Now the institution is also giving the green light to stablecoins.
The US is opening up to stablecoins
OCC has published a new position on the cryptocurrency market. First, it defines stablecoins in it. According to the institutions, this is a concept “Refers to an asset-backed cryptocurrency such as a fiat currency, including the US dollar or other foreign currency.”
This is not the end, however. The OCC’s opinion now allows banks to hold the deposit of stablecoins that are based on the USD.
– This opinion provides banks in the federal banking system with greater regulatory certainty to provide services to their customers in a safe and sound manner – He said Forbes about the new document by Brian P. Brooks, who heads the institution.
The SEC also immediately supported the OCC policy.
In turn, Jonathan V. Goulda, senior deputy currency controller in the US and general counsel at OCC, said:
“Companies that issue stablecoins often want to put in stablecoin support or reserve funds [dot. projektu] in an American bank. Statements by independent public auditors from several stablecoin issuers indicate that reserve funds are deposited with US banks. Several of these issuers are promoting these reserves (…) to increase the credibility of their stablecoins. (…) this letter authorizes domestic banks to hold stablecoin reserves on behalf of clients. “
A step in the right direction
The case for Forbes was also commented on by Jeremy Allaire, CEO and president of Circle, which is the issuer of USDC stablecoin. He himself claims that “Today’s newly released guidelines and comments from the US Treasury Department’s Office of Currency Controller (OCC) show significant progress in the development of digital stablecoins [denominowanych] in dollars in the US financial system ”. In his opinion “The guidelines confirm the approach we have taken in creating a resilient, efficient and open standard for using digital dollars online.”
This is another OCC’s pro-cryptocurrency decision in the quarter. So is the US increasingly opening up to the development of this young market?