Federal Reserve Policy Reversal: Repealing Crypto Bank Ban, Uninsured Banks May Face New Opportunities

【Chain Wen】The Federal Reserve recently took a major step—announcing the withdrawal of a guidance issued in 2023. This directive was once considered a “tightening” measure, directly blocking uninsured banks from entering the Federal Reserve system and engaging in crypto-related activities.

Insiders know that the rejection of Custodia Bank’s main account application was rooted in this guidance. Now, the Federal Reserve has changed its stance, and this barrier may be lifted. For banks and institutions seeking to participate in cryptocurrency activities in a compliant manner, this is undoubtedly a turning point. The shift in policy direction often signals a reshuffling of the industry ecosystem.