“State-chartered banks, particularly “challenger banks” that have positioned themselves as service providers to the fintech industry, are likely to ask the Federal Deposit Insurance Corp. to take similar action as the OCC, said Peter Luce, partner at Ketsal PLLC, based in Washington. Without the FDIC’s blessing, smaller banks are reluctant to deal with the uncertainty that comes with supporting crypto custody and wallet services, Luce said.
“It would not surprise me if the FDIC hasn’t already received opinion letter requests like this from state banks,” he said. “These aren’t new issues; for years, all the real action in crypto innovation and banking has been at the state level. The national banks are late to the party,” Luce added.”
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