Fed to step up regulatory scrutiny of banks' cryptocurrency actions

Odaily Planet Daily News The Federal Reserve issued an announcement to strengthen the supervision of banks under its supervision involving digital assets and blockchain technology activities. The initiative will focus on partnerships between banks and fintech companies. Among them, U.S. state-owned banks must obtain the approval of the Federal Reserve before issuing, holding or trading US dollar tokens, and they must prove that they have appropriate safeguards and controls to reduce risks, including liquidity, network security and illegal financial risks. They also need to Demonstrate continuous monitoring of these issues. Banks should notify the Fed before undertaking activities and wait until they receive "regulatory written notice of no objection" before proceeding.