OCC Allows U.S. Banks to Hold Collateral for Stablecoins

The Office of the Comptroller of the United States of America (OCC) has issued clarifications to American banks, according to which they are allowed to hold funds in order to secure stablecoins.

The new guidance notes that US national banks may provide currency storage services that act as collateral for stable cryptocurrencies. 

At the same time, OCC emphasizes that it is allowed to store collateral for stablecoins that are pegged to one single currency in a 1: 1 ratio. That is, banks will not be able to hold reserves for stablecoins pegged to a whole basket of assets.

“National banks and federal savings associations are already engaging in billions of dollars a day in stablecoin-related activities,” said Brian Brooks, current controller of foreign exchange.

It is possible that the new guidelines issued by the OCC are in response to a recent request from crypto industry participants to allow banks to work with cryptocurrencies and blockchain.

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