U.S. Office of the Comptroller of the Currency: Banks under federal supervision can participate in cryptocurrency custody and certain stablecoin activities

The Office of the Comptroller of the Currency (OCC) has issued a new letter, announcing the revocation of Interpretive Letter No. 1179, released on November 18, 2021, and reaffirming that cryptocurrency custody, distributed ledger and stablecoin activities discussed in previous letters are permitted. The OCC confirmed in its letter: "Federal banks and federal savings associations can engage in cryptocurrency custody, certain stablecoin activities and participate in independent node verification networks." Acting Comptroller Rodney E. Hood stated: "The OCC hopes that banks will adopt risk management controls as strong as those for traditional banking to support new types of banking business." The agency also said it has withdrawn requirements for restrictive controls before engaging in crypto activities.