The Independent Community Bankers of America (ICBA) has urged the Office of the Comptroller of the Currency (OCC) to prioritize certain principles when reviewing charter applications from nonbank digital asset firms. The OCC must consider the potential risks these applicants pose to financial stability and consumer protection.
Key concerns include illicit activities, financial instability, and resolution issues. ICBA recommends that the OCC implement sufficient supervisory and regulatory safeguards for all national banks and maintain longstanding limits on permissible activities for trust banks.
The association also emphasizes the need for thorough review of applications, adequate public comment periods, and safeguards to prevent conflicts of interest. Companies engaged in commercial activities should not own full-service or limited-purpose banks, as this would undermine U.S. policy of separating banking from commerce.
ICBA President Rebeca Romero Rainey stated that granting charters to nonbank digital asset firms poses significant risks, particularly for trust banks. The association’s principles aim to strike a balance between innovation and protecting financial stability and consumers.
Source: https://www.cutoday.info/Fresh-Today/ICBA-Warns-OCC-on-Risks-as-Crypto-Firms-Seek-Bank-Charters