The Federal Reserve indicated on Wednesday that the encrypted service should not be outside the American banks, whether it involves providing food to customers or pioneering new services.

The head of the Federal Reserve, Jerome Powell, said during a press conference on Wednesday that the US Central Bank is "not against innovation", and that "banks are fully able to serve encryption customers, as long as they understand and can manage risk."

"There are a large number of our sons that we organize and supervise doing so," Powell continued. "The threshold was slightly higher for banks that participate in encryption activities."

Powell's comments came days after the House of Representatives officially started investigating a dubbed plot.Puffer Point 2.0"His comments were presented in response to a correspondent asking whether speculation in the category of unorganized assets can harm American families.

The term alleged plot, which borrows its name from Obama's era initiativeProud by Nic Carter, partner in Castle Island Ventures. in mail In X, Carter described Powell's comments as a "massive transformation", which puts an end to the aforementioned plot.

As the chief legal official at Coinbase Paul Ghroul said similarly Decipher In an email that Powell's comments were refreshing.

He said, "What a change in the past four years." "What Jay Powell hears says: The banks are now free to manage any risks of encryption, just like managing any risks from any other industry."

The Republican -led investigation to "Debanking" under the BIDEN administration seeks to assess whether individuals and entities have been cut off from the financial system because of their participation in some industries. Powell said that Crypto customers may be at accurate dangers, but this does not mean that they should be removed by default.

He said: "Certainly we do not want to take measures that will make banks completely end the legal customers, just because the excessive risk (this) may be related to the organization."

However, Powell said that banks that interact with Crypto directly, and perhaps a way to provide new services to customers, should exercise caution because the asset category is still somewhat new.

He said: "If you are choosing (Crypto) activity inside a bank, which is located within the federal safety network while securing deposits, you want to make sure that it is safe and sound."

In September, Gary Ginsner, former SEC president, denied knowing the congestion process 2.0, Testimony Before Congress before he "did not hear this term." It was not long ago that the agency Gensler left last week, SEC canceled the accounting bulletin on employees (SAB) No. 121.

The controversial encryption accounting base, which was presented in March 2022, requires banks to treat digital assets as a commitment to their public budgets, which was eventually a deterrent.

This month, the documents obtained by Crypto Excination Coinbase through the Freedom of Information Law showed that the federal deposit insurance company or FDIC also deterred banks from providing encryption services, at least across at least 23 cases It dates back to March 2022.

One message detailed the "Digital Bank" program, which FDIC assigned a problem with it because it works on the general Blockchain. Another message from the bank asked to "stop all the activity related to encryption assets" after trying to create a service that allows customers to buy and sell Bitcoin.

While investigating the House of Representatives is still in its early stages, the possibility of a government conspiracy has already started to obtain the prevailing attention.

In November, Mark Anderson, co -founder of the Investment Capital Andreneen Horwatz, Claim On the famous "Joe Rogan Experience" to know 30 technical institutions deported.

Edit Andrew Hayouard