US Banks Warn About Cryptocurrency Risks | world | Dr..

The Federal Reserve (Federal Reserve Bank, central bank) and regulatory authorities in the United States alerted banks in the country on Tuesday (01.03.2023) about the risks associated with cryptocurrencies, almost two months after the bankruptcy of the FTX platform, the giant of the industry.

For commercial banks, cryptocurrency-related activity is “likely inconsistent with safe and sound banking practices,” the Fed, the FDIC (the federal agency responsible for guaranteeing bank deposits) and the OCC (supervisory bank) said in a joint statement. most of the US banking system).

“Given the significant risks revealed by the recent difficulties of several large crypto-asset firms, the agencies continue to take a prudent and vigilant approach to each banking institution’s current or anticipated crypto-asset exposures and activities,” they noted.

The Federal Reserve, FDIC, and OCC consider it “important that risks associated with the crypto-asset sector that cannot be mitigated or controlled are not transferred to the traditional banking system.”

US banks are permitted to provide services to their clients related to these assets.

Treasury Secretary Janet Yellen is a strong supporter of “more efficient oversight” of the cryptocurrency market.

FTX, the cryptocurrency exchange, went bankrupt in November, and its founder, Sam Bankman-Fried, will go on trial for fraud, among other charges.

gs (AFP, Reuters)