The SEC now allows banks to exclude customer crypto from balance sheets, expanding crypto service options. This follows a vetoed resolution to revoke SAB 121, reflecting divided views on regulation.
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SEC allows banks to exclude customer crypto from balance sheets with risk mitigation.
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President Biden vetoed a resolution to revoke SAB
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New SEC guidance could expand crypto service options for American holders.
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Banks and financial groups lobbied against SAB 121, citing inflated balance sheets and capital requirements.
The U.S. Securities and Exchange Commission （SEC） has issued new guidance allowing banks to exclude customer cryptocurrency holdings from their balance sheets, provided certain risk mitigation measures are in place. This decision marks a significant shift in regulatory stance and could pave the way for expanded crypto services offered by banks.
Background on SAB 121:
SAB 121 required banks to include customer crypto assets on their balance sheets, which inflated their reported assets and triggered additional capital requirements. Banks and financial industry trade groups lobbied Congress to rescind SAB 121, arguing that it made offering crypto services more costly and challenging.
Despite these efforts, President Biden vetoed a resolution to revoke SAB 121, and the House failed to override the veto, reflecting divided views on the regulation of cryptocurrencies. However, the new SEC guidance offers a compromise, allowing banks to exclude customer crypto holdings if they implement appropriate risk mitigation measures.
Impact on Crypto Services:
This regulatory change could significantly expand the range of crypto services available to American customers. By reducing the financial burden on banks, the new guidance encourages institutions to explore and integrate more crypto-related products and services. This move is expected to boost the adoption of cryptocurrencies in mainstream financial services, providing more options and greater accessibility for users.
解説
- Regulatory Shift: The SEC’s new guidance marks a pivotal change in how banks handle customer crypto assets, aligning with industry calls for more flexible regulations.
- Impact on Banks: By excluding customer crypto holdings from balance sheets, banks can avoid inflated asset reports and additional capital requirements, making it easier and more cost-effective to offer crypto services.
- Crypto Services Expansion: This change is likely to lead to an increase in crypto-related products and services offered by banks, enhancing the overall adoption and integration of cryptocurrencies in the financial sector.
- Lobbying Efforts: The successful lobbying against SAB 121 highlights the ongoing debate and need for balanced regulation that supports innovation while ensuring financial stability.
- Future Outlook: The new guidance from the SEC could set a precedent for future regulatory approaches, promoting a more supportive environment for the growth of the crypto industry.