“If the access is granted, these institutions may introduce increased risks to the financial system,” according to the minutes of the meeting. SPDIs, the document noted, “hold uninsured dollar deposits. The deposits will be backed by 100% reserves, and the funds on deposit cannot be loaned by the bank. This structure allows those SPDIs to avoid Federal Deposit Insurance Corporation (FDIC) and Bank Holding Company Act (BHCA) supervision.”
Related posts
-
White House Rehires Adviser Who Helped Develop Biden’s Executive Order on Crypto
The White House has rehired Carole House, who helped... -
Coinbase Gets Flipped by Bybit As World’s Second Largest Crypto Exchange, According to Analytics Firm Kaiko
Crypto exchange Coinbase has been surpassed in volume by Bybit since October, according to analytics firm... -
Solana Adds ‘Blinks’ and ‘Actions’ So Users Can Trade Crypto On Their Favorite Social Apps
Please note that our privacy policy, terms of use, cookies, and do not sell my personal...