The federal reserve reduces the reputation risk category star-news.press/wp

The American Federal Reserve said that it directed its supervisors not to consider the “reputable risks” in its supervision of banks, which it has long argued that the encryption industry was used to target unremitting encryption companies.

Industries, which are fraught with risks, are facing great challenges in creating or preserving banking relations, and this was seen leading to the so -called Cotenopoint 2.0 when more than 30 technical companies and encrypted banking services in the United States were rejected.

In a statement on Monday, the Federal Reserve He said It has begun to review and remove references to reputation and reputation risks from their supervisory materials and replace them with “specific discussions” on financial risks.

At the same time, the Board of Directors is planning to train examiners and ensure that change is constantly implemented through banks under their supervision, while working with the organizational agencies of the other federal bank to enhance consistent practices.

Banks will still need risk management practices

Despite the change, the Federal Reserve said it still expects banks to maintain strong risk management that is compatible with all laws and regulations.

The change also does not aim to “affect whether the banks supervised by the Board of Directors use the concept of reputable risks in their risk management practices.”

The Federal Reserve has determined the risk of reputation as the possibility that negative propaganda related to the institution’s commercial practices, whether correct or not, will lead to a decrease in the customer base, the costly litigation or revenue.

A blessing for encryption and banking services

American Senator Cennia Lomes He said A aggressive reputation risk policies “assassinated Bitcoin and the origins of digital assets,” adding that “this is victory, but there is still more work to do.”

Rob Nichols, President and CEO of the Lobby Banking Group, the American Banking Association, also Applaud The decision in a statement, saying: “Change will make the supervisory process more transparent and consistent.”

He added: “We have long believed that banks should be able to make commercial decisions based on the management of wise risks and the free market, and not individual views of the organizers.”

However, critics He said Elimination of reputable risks may block non -financial issues, the impact of the bank’s stability, and weak supervision and possibly more dangerous banking practices in fuel.

The organizers who wander in the freezing of encryption

Other organizers and supervision bodies in the United States have begun to enhance coding restrictions this year as well.

Related to: SEC Crypto Stokeing Guidance “Ahead Step forward” for us: The Curvement Council

The US Financial Currency Office in May confirmed that the banks under their jurisdiction can circulate encryption on behalf of customers and the use of external sources of some encryption activities to third parties.

The US Federal Deposit Insurance Corporation, an independent federal government agency, said in March’s speech that the supervisory institutions, including banks, can now engage in encryption activities without prior approval.

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