Summary:
To address certain misrepresentations about FDIC deposit insurance by some crypto companies, the FDIC is issuing an Advisory to FDIC-insured institutions Regarding Deposit Insurance and Dealings with Crypto Companies (FDIC Crypto Advisory). Additionally, a Fact Sheet on What the Public Needs to Know About FDIC Deposit Insurance and Crypto Companies (Deposit Insurance Fact Sheet) has been posted to FDIC’s website to provide additional information about deposit insurance coverage.
The Advisory and Fact Sheet are attached.
Statement of Applicability: The contents of, and material referenced in, this FIL apply to all FDIC-insured financial institutions.
Highlights:
Over the past several months, some crypto companies have suspended withdrawals or halted operations. In some cases, these companies have represented to their customers that their products are eligible for FDIC deposit insurance coverage, which may lead customers to believe, mistakenly, that their money or investments are safe.
The FDIC seeks to address misconceptions about the scope of deposit insurance coverage and related concerns.
By federal law, the FDIC only insures deposits held in insured banks and savings associations (collectively, “insured banks”) in the unlikely event of an insured bank’s failure. The FDIC does not insure assets issued by non-bank entities, such as crypto companies.
The FDIC Crypto Advisory reminds insured banks that they need to be aware of how FDIC insurance operates and need to assess, manage, and control risks arising from third-party relationships, including those with crypto companies.
In dealings with crypto companies, FDIC-insured banks should confirm and monitor that these companies do not misrepresent the availability of deposit insurance.
Simultaneous with issuance of this Crypto Advisory, the FDIC issued a Press Release announcing the posting of a Deposit Insurance Fact Sheet to the FDIC’s webpage to clarify for customers of non-bank entities, such as crypto companies, and the public generally, that deposit insurance does not cover non-deposit products, including crypto assets.
The FDIC Crypto Advisory and Deposit Insurance Fact sheet provide a listing of useful resources for bankers and members of the public for more information.
Fact Sheet: What the Public Needs to Know About FDIC Deposit Insurance and Crypto Companies
Related Topics:
Deposit Insurance
Digital Assets
Third-Party Relationships
Related Resources:
Advisory to FDIC-Insured Institutions Regarding Deposit Insurance and Dealings with Crypto Companies & Latest News Update
Advisory to FDIC-Insured Institutions Regarding Deposit Insurance and Dealings with Crypto Companies & More Live News
All this news that I have made and shared for you people, you will like it very much and in it we keep bringing topics for you people like every time so that you keep getting news information like trending topics and you It is our goal to be able to get
all kinds of news without going through us so that we can reach you the latest and best news for free so that you can move ahead further by getting the information of that news together with you. Later on, we will continue
to give information about more today world news update types of latest news through posts on our website so that you always keep moving forward in that news and whatever kind of information will be there, it will definitely be conveyed to you people.
Advisory to FDIC-Insured Institutions Regarding Deposit Insurance and Dealings with Crypto Companies & More News Today
All this news that I have brought up to you or will be the most different and best news that you people are not going to get anywhere, along with the information Trending News, Breaking News, Health News, Science News, Sports News, Entertainment News, Technology News, Business News, World News of this made available to all of you so that you are always connected with the news, stay ahead in the matter and keep getting today news all types of news for free till today so that you can get the news by getting it. Always take two steps forward
Credit Goes To News Website – This Original Content Owner News Website . This Is Not My Content So If You Want To Read Original Content You Can Follow Below Links