#FDIC Vice Chair Backs Cryptocurrencies#

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FDIC Vice Chairman Travis Hill recently delivered a speech calling for the agency to adopt a more open approach to cryptocurrencies, criticizing the previous practice of using "cease and desist letters" to restrict banks from engaging in crypto-related activities. He argued 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 similar to "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 expects the FDIC to adopt a more "open attitude" towards technology, providing more guidance for digital assets.

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FDIC Vice Chairman Travis Hill recently delivered a speech calling for the agency to adopt a more open approach to cryptocurrencies, criticizing its previous "bottleneck strategy." He believes that the FDIC should provide more guidance on digital assets rather than hindering banks from collaborating with the crypto industry. Hill pointed out that past federal agencies' use of "cease and desist letters" to restrict banks from expanding crypto-related activities has stifled innovation and created 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's remarks suggest that the FDIC may be shifting its stance on cryptocurrencies and actively seeking to collaborate with the crypto industry, which would be a positive signal for the development of the crypto industry.

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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 foster innovation

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

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FDIC should improve its collaboration with crypto technology

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