U.S. government watchdog urges FDIC to coordinate cryptocurrency regulation

Odaily Odaily reports that the U.S. Government Accountability Office (U.S. GAO) sent a letter to FDIC Chairman Travis Hill on June 8. The letter states that blockchain-related financial products and services have seen significant growth, and blockchain technology has been listed on the high-risk list. The U.S. GAO recommends establishing relevant coordination mechanisms to help regulatory bodies such as the FDIC jointly identify risks and implement timely regulatory responses.

Additionally, under the GENIUS Act passed last year, the FDIC is the primary regulator overseeing subsidiary stablecoin issuers of banks under its supervision. The U.S. GAO also recommends that the FDIC rotate case managers assigned to banks to reduce threats to independence. The collapse of three crypto-related banks in 2023 has raised questions about whether regulators have taken sufficient action. (cointelegraph)