In comments on the use of digital assets in illicit finance activities, the Bank Policy Institute and the American Bankers Association urged regulators to better understand the differences between risks associated with nonbank issued cryptocurrencies and stablecoins and traditional banking products and services.
News & Insights
In extensive comments, the GFMA, FIA, the Institute of International Finance, ISDA, the Bank Policy Institute, the International Capital Markets Association and the Financial Services Forum expressed support for the Basel Committee on Banking Supervision design of a prudential framework for the treatment of cryptoasset exposures.
Acting Comptroller of the Currency Michael J. Hsu addressed the threats posed to consumer trust in banking from inequality, digitalization, complacency and climate-related risk.
ISDA CEO Scott D. O'Malia welcomed the latest consultation on the prudential treatment of banks' crypto-asset exposures published by the Basel Committee, highlighting its "conservative approach" to risk, "rather than simply imposing onerous capital requirements."
SIFMA and the American Bankers Association updated their analysis of an SEC Staff Accounting Bulletin, which sets out the required accounting treatment for the holding of crypto-assets by a custodian.