Federal Reserve ends 2023 crypto curbs with new risk-based policy for banks

On 17 December, the Federal Reserve revoked its restrictive 2023 policy on "novel activities" and introduced a new framework for digital-asset innovation. The updated guidance adopts a "same activity, same risks, same regulation" approach, giving both insured and uninsured state member banks a formal pathway to offer services such as crypto custody, tokenization, and stablecoin integrations under strict risk-management standards.