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OCC Chief Counsel’s Interpretation on National Bank and Federal Savings Association Authority to Hold Stablecoin Reserves
This letter addresses the authority of a national bank to hold deposits that serve as reserves for certain “stablecoins.” Generally, a stablecoin is a type of cryptocurrency designed to have a stable value as compared with other types of cryptocurrency, which frequently experience significant volatility. One type of stablecoin is backed by an asset such as a fiat currency. Reports suggest stablecoins have various applications, including the potential to enhance payments on a broad scale,1 and are increasingly in demand.2 As described further below, stablecoin issuers may desire to place assets in a reserve ... (full story)