Fed Drops ‘Reputational Risk’ Label in Bank Exams, Easing Path for Crypto Firms
The United States Federal Reserve (Fed) has removed the idea of ‘reputational danger’ from its formal bank supervision program, a decision that might ease access to monetary services for crypto firms. The policy change was validated on 23 June 2025 in an official declaration by the Federal Reserve Board. The Fed has started reviewing its assessment…[Truncated for brevity]
The Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation have both also ended reputational danger assessments in their bank assessment. This marks a coordinated regulative pattern between agencies, signaling a more comprehensive shift away from subjective supervisory metrics that were viewed as barriers to monetary development, particularly in the digital asset space…
The relocation has been satisfied with approval from pro-crypto policymakers and market figures. US Senator Cynthia Lummis explained it as a ‘win’ on X, mentioning that the track record danger policies had actually ‘assassinated’ digital currency companies. Custodia Bank’s Caitlin Long viewed it as progress towards ending inequitable practices like debanking…
