Fed Eases Crypto Stance, Boosting Industry Confidence
The Essentials at a Glance
Jerome Powell, the Chairman of the US Federal Reserve, recently expressed a positive stance on banks working with crypto clients. He emphasized that banks can serve crypto clients as long as they understand and manage the associated risks. This statement signals a potential departure from the restrictive stance on crypto companies that was prevalent under the previous US administration. Industry experts view this as a significant shift that could foster crypto adoption in the United States.
A Look Back: Operation ChokePoint 2.0
In recent years, the crypto industry in the US faced significant challenges. Under the term “Operation ChokePoint 2.0” (OCP 2.0), banks were allegedly pressured to deny crypto companies access to banking services. This practice led to numerous companies, including tech start-ups, being excluded from the banking system. Critics like Nic Carter, co-founder of Castle Island Ventures, held the Federal Reserve responsible for these measures.
Powell’s New Stance: A Turning Point?
During a press conference, Jerome Powell stated that banks can serve crypto clients as long as they appropriately assess and manage the risks. He emphasized that the Federal Reserve is not against innovation and does not intend to take actions that would result in banks rejecting legitimate customers due to excessive risk aversion. These statements were interpreted by industry representatives like Paul Grewal, Chief Legal Officer of Coinbase, as a clear policy shift compared to the previous administration.
Positive Signals for the Crypto Industry
The recent developments could have far-reaching implications for the crypto industry. In addition to Powell’s statements, the contentious SEC accounting rule SAB 121, which prevented companies from reporting crypto assets in their financial statements, was also repealed. These changes could help strengthen confidence in the crypto industry and promote the adoption of digital currencies in the US.
Industry Reactions
The crypto community has largely welcomed the new developments. Nic Carter described Powell’s remarks as an “immense shift in tone” and declared that the era of OCP 2.0 is over. Marc Andreessen, co-founder of a16z, also highlighted in an interview how significantly the measures of recent years had impacted the tech and crypto sectors. The latest changes could now help restore trust in the sector and foster the industry’s innovative potential.
Our Assessment
Powell’s statements and the recent regulatory changes could mark a turning point for the crypto industry in the US. The ability for banks to serve crypto clients without fearing regulatory repression could significantly drive the growth and adoption of digital currencies. At the same time, it remains to be seen how these developments will play out in practice and whether further steps will follow to clarify the legal framework for the crypto industry.
You should read that too:
Sources
| Wagering requirements | 35x bonus |
| 35x free spins winnings | |
| Minimum deposit | €20 |
| Maximum bet | €5 |
| Bonus validity | 30 days to claim |
| 14 days to wager / 7 days for free spins |
- There is no maximum bonus amount.
- 10 Free Spins per day over ten (10) days on Gates of Olympus or Book of Ra Deluxe.
| Wagering requirements | 40x bonus |
| 40x free spins winnings | |
| Minimum deposit | 0.0005 BTC |
| Maximum bet | 0.00004 BTC |
| Bonus validity | 30 days after registration |
| 14 days (1st), 7 days (2nd), 1 day (3rd) |
- To get the bonus, enter the bonus code before the deposit.
- Minimum deposit: 0,07 BCH • 0,4 LTC • 233 DOG • 45 XRP • 0,01 ETH • 20 USDT • 69 ADA • 0,05 BNB • 184 TRX • 20 USDC.
- Maximum bet: 0.007 BCH • 0.0009 ETH • 0.04 LTC • 23 DOGE • 2 USDT • 4 XRP • 18 TRX • 7 ADA • 0.005 BNB • 2 USDC • 2 EUR • 2 USD.
- Free spins are provided in batches of 25 per day.
- Free spins are credited on the Gamebeat slots: Max Miner (1st), Book of Elixir (2nd) and Odin’s Tree (3rd).
| Wagering requirements | 40x bonus |
| Minimum deposit | 0,1 mBTC |
| Maximum bet | $5 per spin |
| Bonus validity | 7 days to wager |
- There is no cap on winnings or withdrawals.
Advertising transparency