U.S. Comptroller of the Currency Jonathan Gould confirmed the existence of crypto de-banking, signaling a policy reversal by the OCC aimed at increasing banking access and fostering a clearer regulatory environment for crypto businesses.

Executive Summary

The U.S. Office of the Comptroller of the Currency (OCC) Director Jonathan Gould has acknowledged the existence of crypto "de-banking," indicating a significant policy shift aimed at improving banking access for cryptocurrency businesses. This includes actively working to resolve the issue, developing new stablecoin regulations, and reversing prior restrictive policies. The OCC's actions are poised to foster a more defined and potentially favorable regulatory environment for crypto within the traditional financial system.

The Event in Detail: Regulatory Framework Evolution

The Office of the Comptroller of the Currency (OCC) has taken decisive steps to address the "de-banking" phenomenon affecting cryptocurrency businesses. Director Jonathan Gould confirmed the existence of this practice, emphasizing the agency's commitment to eliminating "politicized or illegal de-banking" within the federal banking system. This commitment follows Gould's pledge to "shine a spotlight" on debanking and "depoliticize the banking system."

A pivotal change occurred on March 7, 2025, with the issuance of Interpretive Letter 1183. This directive from the OCC reaffirmed the permissibility of various crypto activities for national banks and federal savings associations, including crypto-asset custody, certain stablecoin activities, and participation in independent node verification networks such as distributed ledgers. Crucially, Interpretive Letter 1183 rescinded the requirement for OCC-supervised institutions to obtain a prior supervisory non-objection before engaging in these activities, a hurdle previously imposed by Interpretive Letter 1179 from November 2021. This move aims to reduce the regulatory burden on banks and ensure consistent treatment of crypto-related activities.

Furthermore, the Guiding and Establishing National Innovation for U.S. Stablecoins Act of 2025 (GENIUS Act), signed into law on July 18, 2025, establishes a federal regulatory framework for payment stablecoins. This legislation mandates that payment stablecoins be backed 1:1 with U.S. dollars or Treasuries, with issuers required to publish monthly reserve breakdowns and maintain clear redemption policies. The GENIUS Act permits stablecoin issuance by subsidiaries of insured depository institutions and other entities approved by the OCC, with the OCC overseeing federal issuers and certain nonbank entities.

Market Implications: Fostering Integration and Innovation

The OCC's current stance signals a notable shift from a restrictive to a more facilitative regulatory approach for crypto businesses within the traditional financial system. The elimination of the supervisory non-objection requirement, coupled with the explicit confirmation of permissible crypto activities, is expected to alleviate immediate banking access issues for some crypto firms.

This regulatory evolution is anticipated to foster growth and institutional adoption in the broader Web3 ecosystem. By addressing the "weaponization of the financial system" and ensuring banks are not deterred from engaging with crypto firms due to political reasons, the OCC aims to create a more level playing field. The agency's commitment to considering "politicized" debanking in Community Reinvestment Act (CRA) evaluations and licensing reviews reinforces this objective.

The GENIUS Act provides a clear legal and operational framework for stablecoins, which are a critical component of the digital asset ecosystem. By defining standards for reserving practices, supervision, and anti-money laundering (AML) compliance, the Act is expected to enhance confidence and facilitate broader adoption of stablecoins, further integrating digital assets into the mainstream financial infrastructure.

Expert Commentary: Depoliticizing the Banking System

OCC Director Jonathan Gould explicitly stated the agency's intent to "end the weaponization of the financial system." He affirmed that the OCC is working to "root out bank activities that unlawfully debank or discriminate against customers on the basis of political or religious beliefs, or lawful business activities." This statement underscores a regulatory philosophy focused on impartiality and fair access to banking services, irrespective of a company's engagement with the cryptocurrency sector. The rescission of policies that created barriers, such as the requirement for banks to seek supervisory approval for crypto activities, marks the end of a period where such engagements were often seen as unduly risky or politically disfavored.

Broader Context: Reversing Prior Hurdles

Prior to the current regulatory shift, the cryptocurrency industry frequently alleged a coordinated effort by previous administrations to "debank" crypto industry personnel and dissuade banks from working with crypto firms. Instances like the Federal Deposit Insurance Corporation (FDIC) calling for a "pause" on bank-crypto activity in 2022 contributed to this perception, suggesting federal regulators had acted to limit traditional financial institutions' involvement in the nascent crypto industry. The OCC's current actions, including the withdrawal from previous joint statements on crypto-asset risks, represent a reversal of these past policy orientations. This move aligns with broader governmental efforts to investigate and prevent banks from denying services based on political beliefs or lawful business activities, as highlighted by executive orders focused on "unlawful debanking." The combined effect of these changes is a clear signal of increased regulatory clarity and support for crypto-related banking activities, potentially paving the way for greater innovation and stability in the digital asset space.