Hsu Expands on Crypto, Climate, Merger, Systemic Actions
Acting Comptroller Hsu today made it clear that – contrary to assertions from Sen. Warren (D-MA) and others – his decision not to rescind prior OCC crypto charters and related rulings does not mean the agency is taking anything other than a cautious approach to cryptoassets. He also indicated that the slow-down in interagency action is warranted as it gives officials time to understand recent shocks to this sector.
New Brainard Position Suggests Fed CBDC Thinking Advances
In addition to hawkish anti-inflation remarks, Fed Vice Chair Brainard today appeared to back away from her prior comments espousing an expansive view of how a U.S. CBDC might work (see Client Report CBDC13). Now calling CBDC a “neutral settlement layer” affording additional stability and opposing a consumer-facing model.
Barr Takes Stage With Bold Plans For Capital, Resolution, Mergers
In his maiden speech today, Fed supervisory Vice Chair Michael Barr made several significant announcements. Reiterating the support for holistic capital regulation noted during his confirmation, Mr. Barr confirmed that the Fed will undertake a sweeping review of standards to address unintended consequences without reducing capital requirements. The Board will also begin action on the Basel “end-game” later this fall.