On August 15, the Fed announced it withdrew its bank supervision program related to the Fed’s initiatives on “novel activities.” The Fed will return to monitoring banks’ novel activities through the normal supervisory process. According to the Fed, the letter applied to all banks under their supervision, including those with $10 billion or fewer in assets.
As previously covered by InfoBytes, the Fed issued two supervision letters in August 2023 to oversee “novel activities” such as those participated in by fintech partnerships, crypto-related activities, and activities using distributed ledger or “blockchain” technology. Both letters have since been rescinded.
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