Travis Hill, Vice Chair of the FDIC, criticizes previous restrictive stances on crypto, arguing for more transparent guidance for banks interacting in this sector. He highlights the detrimental impact of unclear rules on technological innovation, referencing tactics similar to ‘Operation Choke Point,’ which limited HIGH-risk banking services in the past.

Hill emphasizes the need to reevaluate the Bank Secrecy Act, suggesting current regulations may incentivize banks to shut crypto accounts to avoid penalties. While seeking an open-minded approach to digital assets, Hill notes the FDIC maintains it doesn’t discourage crypto banking, stressing balanced regulation amid innovation support.