Regulatory Alerts2025-12-09 | Interpretive Letter 1188Added
Interpretive Letter 1188 — National Banks May Engage in Riskless Principal Transactions in Crypto-Assets
National banks are authorized to engage in riskless principal transactions in crypto-assets as part of the business of banking under 12 U.S.C. § 24(Seventh). This permission applies to transactions where the bank purchases an asset from one counterparty for immediate resale to another, assuming only nominal settlement, market, and credit risk. The Office of the Comptroller of the Currency determines that this activity is a functional equivalent to recognized brokerage and a logical outgrowth of custody services. Banks must conduct these transactions in a safe and sound manner and in compliance with applicable law.
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