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The US OCC confirms that banks have the authority to engage in riskless principal cryptocurrency transactions.
[US OCC Confirms Banks Are Authorized to Engage in Principal Crypto Asset Transactions Without Risk] The US Office of the Comptroller of the Currency ((OCC)) today issued Interpretive Letter 1188, confirming that national banks are allowed to engage in permissible banking activities related to principal crypto asset transactions without risk. Such transactions involve the bank acting as principal in a crypto asset transaction with one customer, while simultaneously conducting an offsetting transaction with another customer. The bank acts as an intermediary, does not hold crypto asset inventory, and operates in a manner similar to a broker acting as an agent. As with any activity, national banks must conduct these activities in a safe and sound manner and comply with applicable laws.