The Federal Reserve Board provided guidance to banking organizations on (i) supervision over "novel activities" and (ii) the process for state member banks to follow before engaging with dollar token or stablecoin activity.
News & Insights
The Federal Reserve Board, OCC and FDIC jointly proposed amendments that would "substantially" revise capital requirements for large banking organizations to be consistent with international capital standards issued by the Basel Committee on Banking Supervision.
A foreign banking organization settled charges with the Federal Reserve Board for failing to address known risks associated with a client investor that had an “increasingly concentrated [total return swaps] portfolio.”
Federal Reserve Board Vice Chair for Supervision Michael S. Barr shared the results of his "holistic review of capital for large banks" and recommended bank resolution reforms in response to recent bank failures.
Federal Reserve Board Governor Philip N. Jefferson concluded that U.S. financial markets remain resilient, but that economic growth will likely remain slow for the rest of 2023 due to increased uncertainty, and interest rates putting greater stress on banking organizations that have a high amount of uninsured deposits.