#FDIC Vice Chair Backs Cryptocurrencies#

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FDIC Vice Chairman Travis Hill recently delivered a speech expressing support for cryptocurrencies and calling for the agency to adopt a more open policy towards digital assets. He criticized the previous practice of federal agencies using "cease and desist letters" to restrict banks from engaging in crypto-related activities, arguing that this "bottleneck strategy" stifled innovation and gave the impression that the FDIC was hindering the development of blockchain technology. Hill called for an end to practices like "Operation Choke Point" and a reassessment of the implementation of the Bank Secrecy Act to reduce the phenomenon of banks closing accounts due to high penalties for non-compliance. He pledged to improve collaboration with crypto technology and provide greater security for deposits in American banks.

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FDIC Vice Chairman Travis Hill recently delivered a speech calling for a more open approach to cryptocurrencies and criticizing "bottleneck strategies." He believes the FDIC should be more open to technology and called for more guidance on digital assets. Hill's remarks came after some crypto industry figures expressed concern that the FDIC had asked financial institutions to pause crypto-related activities. Hill pointed out that in the past, federal agencies have used "pause letters" to restrict banks from expanding crypto-related activities, hindering innovation and creating the impression that the FDIC is hindering blockchain technology. He called for an end to practices like "Operation Choke Point" and a reassessment of the implementation of the Bank Secrecy Act to reduce the phenomenon of banks closing accounts due to high fines for non-compliance. Hill pledged to improve collaboration with crypto technology and said the FDIC will take a more open approach to cryptocurrencies to promote innovation and development.

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FDIC should take a more open approach to cryptocurrencies rather than a 'bottleneck' strategy

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FDIC should provide more guidance on digital assets to reduce the phenomenon of banks closing accounts due to insufficient compliance and facing hefty fines

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FDIC should end practices like 'Operation Choke Point' and reassess the implementation of the Bank Secrecy Act

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FDIC should improve its collaboration with crypto technology

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