🇺🇸 🌎USA FED MOVES AGAINST CRYPTO DEBANKING 🔥🚨
🏛️⚖️ Reputation Risk Scrapped from Bank Supervision
🌊 The policy tide may be turning for crypto in the United States.
🏦The U.S. Federal Reserve Board has proposed a rule that would formally remove “reputation risk” from its bank supervisory framework — a concept widely believed to have fueled crypto debanking over the past years.
If finalized, this would:
🔹 ❌ Eliminate “reputation risk” as a supervisory factor
🔹 🛑 Prohibit regulators from pressuring banks to drop lawful clients
🔹 🛡️ Protect businesses in politically disfavored sectors — including crypto
🔹 🚪 Open the door for stablecoin issuers to access banking rails
Vice Chair for Supervision Michelle W. Bowman made it clear:
⚖️ “Discrimination based on political views, religious beliefs, or lawful business activity has no place in supervision.”
This proposal follows similar moves by the 🏛️ Office of the Comptroller of the Currency, which previously cut reputational risk from its exam framework.
💥 Why this matters?:
For years, crypto founders, exchanges, and even payment CEOs have reported sudden account closures with no clear explanation. 🚫🏦
“Reputation risk” became the silent lever. 🤐
Now, the Fed is moving to codify its removal — not just policy guidance, but binding rule. 📜✅
And here’s the strategic twist 👇
The proposal signals that “permitted payment stablecoin issuers” could be formally included within covered banking organizations after separate rulemaking. 🧾🏦
Translation:
🏦✨ Stablecoin issuers may gain clearer banking access
🔗🚀 Crypto-native firms could regain institutional financial rails
⚖️📘 Regulatory clarity may reduce arbitrary enforcement
🗓️ Public comment period: 60 days.
🌍 The bigger picture?
This is not just about crypto.
It’s about whether lawful businesses can be cut off from the financial system due to perceived political or reputational pressure. ⚖️
