Friday, 2 June 2023

US banks urge regulators for space to grow crypto

5 min read

The Financial Services Forum (which represents Bank of America, BNY Mellon, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, State Street, and Wells Fargo) urged the Bank for International Settlements (BIS) to lighten its framework’s more stringent approach to riskier crypto assets. The forum say that the BIS should encourage banks to deepen their involvement in the crypto space, since it would bring the emerging asset class into the “clear line-of-sight” of banking regulators. The BIS’s Basel Committee published a proposal framework in June that would delineate assets like stablecoins from more speculative assets like bitcoin. The Basel Committee, which flagged “financial stability concerns” in the crypto space, proposes different regulatory approaches based on which type of crypto assets a bank has exposure to.

News source: Financial Services Forum and Yahoo! Finance

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