May 21 -- The Federal Deposit Insurance Corporation (FDIC) is gathering information and soliciting comments by July 16, 2021 regarding insured depository institutions' (IDIs') current and potential activities related to digital assets. The FDIC is interested in receiving input on current and potential digital asset use cases involving IDIs and their affiliates.
One area of new technology and innovation surrounds the use of digital assets in financial markets and intermediation, as well as with settlement and payment systems. Banks are increasingly exploring several roles in the emerging digital asset ecosystem, such as being custodians, reserve holders, issuers, and exchange or redemption agents; performing node functions; and holding digital asset issuers' money deposits.
Digital asset use cases and related activities may fall into one or more broad categories:
Technology solutions, such as those involving closed and open payment systems, other token-based systems for banking activities other than payments (e.g., lending), and acting as nodes in networks (e.g., distributed ledgers).
Asset-based activities, such as investments, collateral, margin lending and liquidity facilities.
Liability-based activities, such as deposit services and where deposits serve as digital asset reserves.
Custodial activities, such as providing digital asset safekeeping and related services, such as secondary lending, as well as acting as a qualified custodian on behalf of investment advisors.
Other activity that does not align with the others above. Examples could include market-making and decentralized financing.
The FDIC recognizes that there are novel and unique considerations related to digital assets, and this RFI is intended to help inform the FDIC's understanding in this area. The FDIC is seeking input on current and potential use cases involving IDIs and their affiliates and risk and compliance management in conducting such activities.
FR notice inviting information and comments: https://www.federalregister.gov/documents/2021/05/21/2021-10772/request-for-information-and-comment-on-digital-assets