TechFlow, Dec 23 — According to CoinDesk, the U.S. Office of the Comptroller of the Currency (OCC) recently issued an interpretive letter confirming that national banks may participate in "principal risk-free" crypto asset transactions, allowing banks to act as agents for cryptocurrency trading without holding inventory or assuming market risk. Bloomberg reported that JPMorgan is exploring offering crypto trading services to institutional investors, marking a shift for Wall Street banks from experimental phases to implementation in cryptocurrency.
Experts believe this regulatory shift will have significant implications for the crypto market. With advantages in regulatory legitimacy and customer trust, banks are expected to capture a substantial portion of retail order flow, creating competitive pressure—especially on independent crypto exchanges that lack banking licenses.
Banks are anticipated to focus on high-liquidity assets such as Bitcoin, Ethereum, and regulated stablecoins, rather than offering the full range of crypto tokens. Market observers note that this competitive landscape may not be zero-sum, as many banks will likely continue relying on crypto-native firms for liquidity, pricing, and infrastructure, thereby creating opportunities for collaboration.
