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The US Office of the Comptroller of the Currency (OCC) has announced that national banks may now act as intermediaries in cryptocurrency transactions. This decision marks a change in how the financial system engages with digital assets. For years, banks maintained a cautious stance towards crypto. The new guidance permits regulated institutions to facilitate crypto trades under established compliance standards, signalling a shift in the relationship between traditional finance and digital currencies.
The OCC is a federal agency within the US Treasury that regulates national banks. Its role is to ensure banks operate safely while providing fair access to financial services. The OCC’s guidance allows banks to facilitate cryptocurrency trades, provided they do not hold crypto on their balance sheets. Banks can act as intermediaries, executing “riskless principal” transactions between two parties without taking on direct exposure.
A riskless principal transaction occurs when a bank buys an asset from one client and immediately sells it to another at the same or nearly the same price. The bank does not retain the asset, serving only as a facilitator. Banks already use this method for stocks, bonds and derivatives. The change is that cryptocurrency assets are now included in the scope of such transactions.
Banks acting as intermediaries in cryptocurrency transactions follow a straightforward process: a customer requests the purchase of a cryptocurrency, the bank identifies a seller and agrees on a price, then buys the asset from the seller and immediately sells it to the buyer. At no point does the bank retain ownership of the cryptocurrency; it simply facilitates the exchange.
The OCC stated, “In addition, acting as a riskless principal in crypto assets for custody customers is a logical outgrowth of the services that national banks may already provide for custody customers. National banks may buy and sell financial and non-financial assets held in custody on a customer’s behalf at the direction of the customer and in a manner consistent with the customer agreement and applicable law.”
The Trump administration has taken a more supportive stance on cryptocurrency than previous administrations. The OCC guidance is part of broader efforts to ease restrictions between banks and digital assets.
The policy is intended to encourage the adoption of digital assets and maintain US competitiveness in financial innovation. Allowing banks to act as intermediaries in crypto transactions is seen as a step towards integrating digital markets into the regulated financial system.
The new policy allows customers to conduct cryptocurrency transactions through the same banks that manage their traditional accounts, narrowing the divide between banking and blockchain finance. Banks gain an additional service, while customers can access crypto transactions through regulated institutions instead of unregulated exchanges.
Banks stand to benefit from crypto intermediation by charging fees for executing trades and offering direct access to digital assets for both retail and institutional clients, removing the need for third-party platforms. Some institutions may also expand into custody services, storing cryptocurrencies in secure environments. However, this raises questions about liability, data privacy and compliance with anti-money laundering (AML) and know-your-customer (KYC) rules.
At the same time, critics highlight risks such as potential financial instability if crypto markets crash and reputational concerns linked to the volatility of digital assets. Globally, approaches vary: European regulators have kept banks and crypto firms separate, while countries such as Japan and Singapore have embraced partnerships. Within the US, major banks such as JPMorgan and Citibank have expressed support, though some regulators remain cautious about tying traditional banking too closely to the crypto sector.
Looking ahead, the financial system is expected to evolve into a hybrid model where digital and traditional assets operate together under regulated frameworks. Further guidance is anticipated on areas such as stablecoins, tokenised assets and decentralised finance (DeFi). For everyday investors, this could mean easier access to cryptocurrencies directly through their banks. At the same time, the involvement of regulated institutions may make digital assets more acceptable to those who have been cautious about entering the market.
