US regulators move to define unsafe banking practices in step that could ease access for crypto firms

The Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation are advancing a rulemaking process that would clarify what counts as an "unsafe or unsound practice" in bank supervision, according to crypto reporter Eleanor Terrett. The term has long lacked a clear definition, leaving bank examiners with broad discretion during supervisory reviews. Under the proposed approach, regulators would need to tie such findings to actual legal violations or material financial risks. The reported aim is to prevent banks from being pressured on vague reputational or procedural grounds into turning away lawful customers. That group, the report said, includes crypto companies. If adopted, the rule could remove part of the banking access friction that has weighed on some digital asset businesses in the United States. The development centers on supervisory standards rather than a new crypto-specific banking regime, and the report did not include a timeline for final adoption.