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Office of the comptroller of the currency (OCC) Meaning

An independent bureau within the United States Department of the Treasury that charters, regulates, and supervises all national banks. In the context of fintech, the OCC is a pivotal regulator because it determines how traditional banks can interact with cryptocurrency.

Under recent interpretive letters, the OCC has clarified that national banks are allowed to provide cryptocurrency custody services and hold reserves for stablecoin issuers. This was a watershed moment that gave the "green light" for Wall Street banks to enter the crypto space legally.

The OCC's stance is crucial for the normalization of digital assets.

By treating crypto custody as a modern form of traditional safekeeping, they have paved the way for the integration of blockchain technology into the legacy banking system, bridging the gap between TradFi and DeFi.

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