{"id":98629,"date":"2026-06-05T11:03:08","date_gmt":"2026-06-05T11:03:08","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=98629"},"modified":"2026-06-05T11:03:08","modified_gmt":"2026-06-05T11:03:08","slug":"us-senators-press-bank-regulators-for-fair-crypto-capital-rules","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=98629","title":{"rendered":"US Senators Press Bank Regulators For \u2018Fair\u2019 Crypto Capital Rules"},"content":{"rendered":"
\n

A group of Senate Republicans is pressing bank regulators to build on recent regulatory progress by creating a clearer capital framework for crypto activities and asset treatment.<\/p>\n

US Senators Call For Clear Crypto Capital Rules<\/h2>\n

On Thursday, Senate Banking Subcommittee on Digital Assets Chair Cynthia Lummis and Senators Dan Sullivan, Bill Hagerty, Bernie Moreno, Ted Budd, and Jon Husted shared<\/a> a recent letter urging key financial agencies to move toward \u201cclear and fair\u201d capital rules for banks engaged in crypto asset activities.<\/p>\n

The letter, addressed to Federal Reserve Vice Chair for Supervision Miki Bowman, Federal Deposit Insurance Corporation (FDIC) Chairman Travis Hill, and Comptroller of the Currency Jonathan Gould, criticized the international Basel Committee on Bank Supervision\u2019s capital standards, which gave \u201cthe most punitive classification in the capital framework\u201d to crypto assets.<\/p>\n

Notably, the standard assigned a 1,250% risk weight, used to determine how much a bank must hold against a certain asset, on crypto assets. To the senators, \u201cThis classification was not derived from a calibrated assessment of the actual risk profile of digital assets.<\/p>\n

Instead, it \u201cappears to be a blanket penalty assigned by asset category as a de facto ban on banks holding this asset class, in direct tension with a technology-neutral approach\u201d that agencies<\/a> like the Office of the Comptroller of the Currency (OCC) and the FDIC have disclosed over the past year.<\/p>\n

The lawmakers applauded the regulatory agencies for their recent interagency guidance on tokenized securities, which clarified the capital treatment of these assets. In March, the FDIC, the OCC, and the Federal Reserve jointly said that tokenized securities should generally receive the same capital treatment as their non-tokenized counterparts, affirming that capital treatment should reflect the risk characteristics of the underlying asset, not the technology used to record ownership.<\/p>\n

\u201cThat principle should apply consistently\u2014including to other digital assets,\u201d the letter stated. Citing this position and recent progress<\/a> on the crypto market structure bill, which would expand banks\u2019 ability to engage in balance-sheet crypto asset activities, the senators urged the FDIC, OCC, and Federal Reserve to begin developing a new capital framework for such activities.<\/p>\n

Top Regulators Shift To \u2018Risk-Based\u2019 Supervision<\/h2>\n

The senators\u2019 call for new crypto capital rules came as the three regulators testified before the House Financial Services Committee on Thursday morning, updating lawmakers on their broader effort to revisit and ease several bank rules implemented after the 2008 financial crisis.<\/p>\n

In prepared remarks, the FDIC chair noted<\/a> that the agency is implementing several changes to reform its approach to a more \u201ceffective and efficient\u201d supervisory framework that continues to support the safety of individual institutions and the broader system.<\/p>\n

Hill stated that strong capital standards play a critical role in ensuring a resilient banking system<\/a>, while driving economic growth and supporting their customers. Regarding crypto assets, he stated that the agency has issued several proposed rules to regulate and oversee subsidiaries of FDIC-supervised Insured depository institutions (IDIs) approved to issue payment stablecoins under the GENIUS Act.<\/p>\n

Similarly, the OCC Chief affirmed<\/a> that it is \u201creturning to risk-based supervision rooted in law and emphasizing examiner judgment, not arbitrary checklists,\u201d and reviewing past supervisory criticisms and enforcement actions.<\/p>\n

\u201cOur job is to facilitate, not stymie, responsible innovation,\u201d Gould said, adding that \u201cOur banking system will only remain relevant and trusted if it resists pressures to deny access based on political or religious beliefs or lawful business activity. We have made considerable progress in reviewing the activities of the largest national banks and are investigating complaints of alleged debanking, consistent with the President\u2019s executive order.\u201d<\/p>\n

\"crypto,<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

A group of Senate Republicans is pressing bank regulators to build on recent regulatory progress by creating a clearer capital framework for crypto activities and asset treatment. US Senators Call For Clear Crypto Capital Rules On Thursday, Senate Banking Subcommittee on Digital Assets Chair Cynthia Lummis and Senators Dan Sullivan, Bill Hagerty, Bernie Moreno, Ted […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-98629","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/98629","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=98629"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/98629\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=98629"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=98629"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=98629"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}