Fed Chairman Powell: Banks can provide cryptocurrency services to customers as long as they are done in a safe and sound manner

According to a report from Ledgerinsights on February 2nd, the  Federal Reserve Chairman Powell discussed the topic of cryptocurrency at a press conference announcing the maintenance of interest rates, stating that banks can provide cryptocurrency services to customers as long as they are done in a safe and stable manner. He added, "We are not against innovation, and of course we do not want to take actions that lead to banks terminating completely legal customers because of the excessive risks brought about by regulation."

According to a court order, the Federal Deposit Insurance Corporation (FDIC) of the United States recently issued multiple letters emphasizing the strict scrutiny banks face when providing cryptocurrency services to customers. In many cases, banks have been told to suspend services and have never received approval.