Federal Reserve Chair Jerome Powell stated that banks in the United States may serve crypto customers as long as they properly manage the risks associated with digital assets

Event date

Jan 29, 2025 - 12:00am

Quotes that support claims

Federal Reserve Chair Jerome Powell stated that banks are free to serve with crypto, provided they effectively manage the associated risks.

Fed Chair Jerome Powell said during a Wednesday press conference that the U.S. central bank is “not against innovation,” and that “banks are perfectly able to serve crypto customers, as long as they understand and can manage the risks.”

In a press conference following a meeting of the Federal Open Market Committee (FOMC) on Jan. 29, Powell said banks were “perfectly able to serve crypto customers” provided they managed the risks — conditions that were already in place under financial institutions the Fed supervised. However, he hinted that there was a higher threshold for banks looking to engage in crypto activities.