Monday night, the Treasury's Workplace of the Comptroller of the Foreign money instructed nationwide banks that they're allowed to run unbiased nod
Monday night, the Treasury’s Workplace of the Comptroller of the Foreign money instructed nationwide banks that they’re allowed to run unbiased nodes for distributed ledger networks.
Referring to of unbiased node verification networks, the OCC’s interpretive letter says that banks “might use new applied sciences, together with INVNs and associated stablecoins, to carry out bank-permissible capabilities, resembling cost actions.”
Coming amid an excessive amount of uncertainty as to the way forward for stablecoins, the OCC’s announcement is large information. The workplace, nonetheless, cautions that there are cyber dangers inherent to utilizing such know-how:
“Banks should additionally pay attention to potential dangers when conducting INVN-related actions, together with operational dangers, compliance threat, and fraud. New applied sciences require sufficient technological experience to make sure banks can handle these dangers in a protected and sound method.”
Brian Brooks, who previously led Coinbase’s authorized group, has been the Appearing Comptroller of the Foreign money since Might. Throughout his tenure, the workplace has put out a bunch of steerage authorizing banks to be extra energetic in crypto and, extra not too long ago, barring them from chopping off providers to authorized industries.
Main lobbyist group the Blockchain Affiliation famous that “The letter states that blockchains have the identical standing as different international monetary networks, resembling SWIFT, ACH, and FedWire.” Such flagships mechanisms of worldwide funds have needed to up their video games in response to competitors from blockchain-backed funds lately.
Main lobbyist group the Blockchain Affiliation famous of immediately’s announcement that “The letter states that blockchains have the identical standing as different international monetary networks, resembling SWIFT, ACH, and FedWire.” Such flagships mechanisms of worldwide funds have needed to up their video games in response to competitors from blockchain-backed funds lately.
The brand new steerage follows up on a separate group of regulators laying out new steerage for stablecoin operators instantly earlier than Christmas.
The topic of stablecoin authorized standing within the U.S. has taken on an outsized position over the previous month, particularly after Congresswoman Rashida Tlaib launched a invoice that appeared to outlaw any operation of a stablecoin community, together with non-public individuals working, for instance, Ethereum nodes that course of DAI transactions.