The US OCC Allows Banks to Achieve Zero-Risk Profits from Cryptocurrency Trading Services

On December 9th, the Office of the Comptroller of the Currency (OCC) issued Interpretive Letter 1188, explicitly permitting national banks to participate in crypto asset trading in a "riskless principal" mode, without holding token inventories or bearing net risk exposure.

This means banks can act as intermediaries on both the buy and sell sides, connecting and matching trades for clients, with business attributes largely consistent with traditional securities brokerage models.

This move directly responds to the core demands of traditional banks for compliant entry into the crypto market and provides a clear, risk-controlled pathway for their participation.

The core emphasis of this policy is that "technology should not become a business barrier," as regulators believe that the core functions of digital asset custody and trading are fundamentally no different from traditional financial services and can be fully integrated within existing legal frameworks.

This policy shift also marks a transition from the previous approach of "isolation and cautious skepticism" to a new direction of "classification inclusion and compliance regulation."

Additionally, the OCC has reserved the national trust charter as a key entry pathway for the crypto industry. Cryptocurrency companies that meet capital requirements, regulatory management standards, and strict risk control criteria can apply for a federal trust license. Once approved, they can legally conduct core activities such as crypto asset custody and stablecoin reserve management under OCC supervision.

This policy also indirectly dismisses the lobbying efforts of traditional banking associations regarding "unfair competition," indicating that the OCC issues financial licenses based on business substance rather than technological form, ensuring fair market access for all types of institutions.

In summary, this regulatory initiative by the OCC enables traditional banks to legally offer crypto services and participate in the market to prevent customer loss, while crypto companies can leverage federal trust licenses to gain institutional trust and upgrade their operations.

From a global perspective, this pioneering regulatory practice may influence the crypto rules of other major financial centers, thereby reshaping the international crypto financial regulatory landscape.

Overall, the OCC is not simply loosening restrictions but categorizing crypto activities within the existing legal system and aligning them with compliance requirements, aiming to systematically incorporate them into the traditional financial regulatory framework.

#OCC