Fed Won’t Block Banks From Crypto, Powell Signals No Rush for Rate Cuts

Powell affirms the Fed is not restricting banks from providing services to crypto customers. Inflation remains elevated, leading the Fed to maintain its restrictive policy stance. Trump pushes for lower interest rates, but Powell maintains decisions will be based on economic data. Federal Reserve Chair Jerome Powell reaffirmed that financial institutions can serve cryptocurrency clients, pointing to a move toward clearer regulation . Testifying before Congress, Powell addressed concerns over “debanking,” where banks cut services to crypto firms because of compliance risks. He acknowledged reports that banks avoid crypto exposure and assured lawmakers that the Fed will review its internal policies to secure fair banking access for all sectors Fed Confirms Crypto Banking Policy Clarity When questioned by the House Financial Services Committee, Powell confirmed that the central bank does not discourage financial institutions from handling digital assets. He suggested that banks may act out of excessive caution because of strict anti-money laundering rules but stated that the Fed will reassess its approach. His comments followed a similar statement f… The post Fed Won’t Block Banks From Crypto, Powell Signals No Rush for Rate Cuts appeared first on Coin Edition .