Need for more crypto regulation

In the remarks give At the 2021 Policy Summit of the U.S. Financial Technology Council, Acting Currency Comptroller Michael J. Hsu called for strengthening the supervision of general crypto companies.

“Large, general-purpose cryptocurrency companies—especially the issuers of highly circulating stablecoins—should accept comprehensive and unified supervision. At the same time, federal and state banking regulators should prioritize the development of policies, personnel, and supervision methods. In order to safely include such companies in the scope of banking supervision. This will clearly distinguish between safe and reliable crypto companies and those that are only partially regulated and have a history of control failures, such as Binance and Tether.”

The Office of the Comptroller of the Currency is responsible for the supervision of federally chartered banks operating in the United States. Xu further stated:

“The rapid expansion and mixing of the wholesale and retail activities of some crypto companies has raised the question of whether there should be a separation of Glass-Steagall-like activities in the encryption field.”

Glass-Steagall is a federal law in 1933 that excluded investment and commercial banking, and was repealed in 1999. Hsu finally warned: “In the field of cryptocurrency, the rapid growth of users and total market value is only matched by the growth of scams and consumer complaints. “Move fast and break the rules” is a common motto in the technology industry. In the financial services environment , It’s important to remember that these “things” are people and their money.”

In October, OCC nominee Saul Omarova was forced to demand Handed over her university thesis on Marxism Republican in the Senate. OCC cooperates with other regulatory agencies and is expected to issue relevant information to banks How to hold cryptocurrency assets as soon as possible. Hsu begins to review Tether’s commercial paper reserves In January.