OCC Confirms Banks Can Offer Crypto Custody and Execution Services
The Office of the Comptroller of the Currency (OCC) has issued Interpretive Letter 1184, reaffirming that national banks and federal savings associations are authorized to engage in crypto-asset custody and execution services, provided they meet existing legal and risk management requirements.
The clarification confirms that banks may buy or sell crypto-assets held in custody at the direction of their customers. It also allows these institutions to outsource such services to third-party providers, as long as they follow sound third-party risk management practices.
Building on Prior Guidance
The OCC’s latest interpretive letter builds on the foundation laid by previous guidance, including Interpretive Letters 1170 and 1183, which also addressed the role of banks in crypto-related services. The updated letter reflects the regulator’s intent to offer clarity on how banks can legally navigate the growing demand for digital asset services.
Safety, Soundness, and Compliance Remain Key
While the OCC’s letter expands operational clarity, it reiterates that banks must perform all crypto-asset activities—whether directly or through sub-custodians—in a manner that is both safe and sound and in full compliance with applicable regulations.
The update marks another step in aligning federal banking rules with the evolving digital asset landscape, offering banks a clearer framework to engage in custody and execution of crypto assets as demand for institutional-grade services continues to rise.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
