US banks allowed to manage crypto on customers’ behalf
Banks may outsource crypto custody services under updated OCC guidance, easing the path for more industry involvement.
US banks are now allowed to manage crypto assets on behalf of their customers. The US Office of the Comptroller of the Currency (OCC) confirmed that banks can buy, sell, and hold crypto in custody. They can also outsource certain services, such as custody and execution, to third parties.
Acting Comptroller Rodney Hood stated that financial institutions could also provide tax reporting, record-keeping, and sub-custody services. These services must comply with legal and risk management guidelines.
The decision marks a shift towards integrating crypto into traditional banking systems, with over 50 million Americans now holding digital assets.
Industry experts have welcomed the OCC’s move. Katherine Kirkpatrick Bos of StarkWare said it signals a shift in the OCC’s stance, while Coinbase’s Faryar Shirzad praised the regulatory clarity.
The change comes amid the Trump administration’s more crypto-friendly approach, which includes reversing previous restrictions on banks’ crypto activities.
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