In a major shift for the U.S. banking and cryptocurrency sectors, President Trump has officially revoked a controversial rule imposed by the Securities and Exchange Commission (SEC).
The regulation, known as Staff Accounting Bulletin 121, required banks to classify crypto assets held on behalf of customers as liabilities, creating significant obstacles for institutions looking to enter the digital asset space.
The repeal marks the culmination of efforts that began with a bill passed by both the House and Senate last year. Although former President Biden vetoed the legislation, the new administration wasted no time in overturning the guideline, signaling a more crypto-friendly stance.
This development opens the door for U.S. banks to engage directly with cryptocurrency custody services. Bank of America CEO Brian Moynihan has already expressed enthusiasm for the opportunity, stating that if clear rules are in place, the banking industry is ready to embrace crypto-related transactions at scale.
While the removal of this rule wasn’t a cornerstone of President Trump’s campaign promises, it addresses a critical concern for advocates of digital assets. The change is expected to pave the way for banks to integrate cryptocurrency into their services, potentially accelerating mainstream adoption in the financial sector.
Binance has decided to halt spot trading of Tether (USDT) within the European Economic Area (EEA) as it works to comply with the EU’s new crypto regulations under MiCA (Markets in Crypto-Assets Regulation).
California is taking a bold step toward protecting cryptocurrency investors, with new amendments transforming an existing financial regulation bill into a dedicated digital assets framework.
Japan’s Financial Services Agency (FSA) is working on a proposal to amend existing financial laws, aiming to bring cryptocurrencies under the same regulatory framework as traditional financial instruments.
The U.S. Commodities Futures Trading Commission (CFTC) has taken a significant step by revoking a previous directive that had suggested stricter oversight of digital asset derivatives.