Head of U.S. Federal Banking Regulators: Cryptocurrency Market Crash Slows Down Drafting of U.S. Cryptocurrency Regulations

According to ChainCatcher news, as reported by TheBlock, Michael Hsu, the current head of U.S. federal banking regulators and the Acting Comptroller of the Currency, stated that he believes the sharp decline in digital asset market prices has provided regulators with more "time to correct issues." Following the collapse of the crypto market, regulators' interest in digital assets within the banking sector has begun to wane.

Hsu mentioned that the inter-agency regulatory process to establish broader fundamental rules for the relationship between banks and cryptocurrencies is still active, but the pace has slowed. Additionally, Hsu stated that "the custody of cryptocurrencies is different from the custody of other assets," as digital wallets must handle keys and the decentralized nature of blockchains, which requires careful consideration in light of these issues. (Source link)