49 min

Acting Comptroller of the Currency Brian Brooks on Crypto Banks Unchained

    • Business News

Brian Brooks got his start in traditional finance before joining Coinbase in 2018 and is currently the acting comptroller of the currency. In this episode, he discusses:
how his background in traditional financial services led him to take a position at Coinbase
whether the role blockchain and crypto will likely play in the financial future is being recognized at the federal level
whether or not banks have always had the authority to custody crypto for their customers
how he expects things to unfold in the coming years as banks begin to become more involved in crypto custody
his thoughts on Kraken and others launching crypto banks and whether it will lead to the founding of other crypto banks
how his office is pushing for a national fintech charter, and how it could affect less crypto-friendly states
whether banks that work with crypto companies supporting unhosted wallets are prohibited from holding stablecoin reserves
whether or not OCC regulations cover DeFi, and the regulatory challenges that open source protocols present
whether he sees a time when governments and regulators participate in the governance of crypto platforms
what roles he thinks public and private sectors, as well as commercial banks, should play in the creation of a central bank digital currency
what stance the OCC might take around privacy in blockchain transactions
how U.S. regulators can offer more clarity to the crypto industry
and how he thinks the pandemic, its effect on the economy, and the government’s response through stimulus will affect the crypto industry
 
Thank you to our sponsor!
Crypto.com: https://www.crypto.com
 
Episode links: 
Brian Brooks: https://twitter.com/BrianBrooksOCC
Office of the Comptroller of the Currency: https://www.occ.gov
 
Letter to authorize banks to provide crypto custody services for customers: https://www.occ.gov/topics/charters-and-licensing/interpretations-and-actions/2020/int1170.pdf
 
The significance of the letter for banks and crypto companies: https://www.forbes.com/sites/matthougan/2020/07/27/the-occs-notice-on-crypto-is-a-really-big-deal/#13aad8806301
 
The OCC’s statement on federally chartered banks and crypto custody: https://www.occ.gov/news-issuances/news-releases/2020/nr-occ-2020-98.html
 
His support for a federal licensing framework for crypto companies: https://www.coindesk.com/us-banking-regulator-suggests-federal-licensing-framework-for-crypto-firms
 
Questions about the OCC’s stablecoin guidance
https://www.coindesk.com/questions-occ-first-guidance-stablecoins
 
CSBS “One Company, One Exam” policy: https://www.coindesk.com/csbs-firms-explained
 
Battle with states over federal licensing program: https://www.politico.com/news/2020/08/31/currency-comptroller-reshape-banking-406393 
 
FinCEN’s 2019 Regulatory Guidance: https://www.fincen.gov/news/news-releases/new-fincen-guidance-affirms-its-longstanding-regulatory-framework-virtual
 
Federal Reserve says it is exploring a central bank digital currency: https://www.coindesk.com/fed-reserve-evaluating-digital-dollar-but-benefits-still-unclear-says-chairman 
 
His view that a CBDC should be designed by the private sector: 
https://www.theblockcrypto.com/post/69216/heres-how-brian-brooks-disagrees-with-fed-chair-jerome-powell-on-the-digital-dollar
The OCC’s Financial Inclusion Project: https://www.occ.gov/topics/consumers-and-communities/minority-outreach/project-reach.html
Learn more about your ad choices. Visit megaphone.fm/adchoices

Brian Brooks got his start in traditional finance before joining Coinbase in 2018 and is currently the acting comptroller of the currency. In this episode, he discusses:
how his background in traditional financial services led him to take a position at Coinbase
whether the role blockchain and crypto will likely play in the financial future is being recognized at the federal level
whether or not banks have always had the authority to custody crypto for their customers
how he expects things to unfold in the coming years as banks begin to become more involved in crypto custody
his thoughts on Kraken and others launching crypto banks and whether it will lead to the founding of other crypto banks
how his office is pushing for a national fintech charter, and how it could affect less crypto-friendly states
whether banks that work with crypto companies supporting unhosted wallets are prohibited from holding stablecoin reserves
whether or not OCC regulations cover DeFi, and the regulatory challenges that open source protocols present
whether he sees a time when governments and regulators participate in the governance of crypto platforms
what roles he thinks public and private sectors, as well as commercial banks, should play in the creation of a central bank digital currency
what stance the OCC might take around privacy in blockchain transactions
how U.S. regulators can offer more clarity to the crypto industry
and how he thinks the pandemic, its effect on the economy, and the government’s response through stimulus will affect the crypto industry
 
Thank you to our sponsor!
Crypto.com: https://www.crypto.com
 
Episode links: 
Brian Brooks: https://twitter.com/BrianBrooksOCC
Office of the Comptroller of the Currency: https://www.occ.gov
 
Letter to authorize banks to provide crypto custody services for customers: https://www.occ.gov/topics/charters-and-licensing/interpretations-and-actions/2020/int1170.pdf
 
The significance of the letter for banks and crypto companies: https://www.forbes.com/sites/matthougan/2020/07/27/the-occs-notice-on-crypto-is-a-really-big-deal/#13aad8806301
 
The OCC’s statement on federally chartered banks and crypto custody: https://www.occ.gov/news-issuances/news-releases/2020/nr-occ-2020-98.html
 
His support for a federal licensing framework for crypto companies: https://www.coindesk.com/us-banking-regulator-suggests-federal-licensing-framework-for-crypto-firms
 
Questions about the OCC’s stablecoin guidance
https://www.coindesk.com/questions-occ-first-guidance-stablecoins
 
CSBS “One Company, One Exam” policy: https://www.coindesk.com/csbs-firms-explained
 
Battle with states over federal licensing program: https://www.politico.com/news/2020/08/31/currency-comptroller-reshape-banking-406393 
 
FinCEN’s 2019 Regulatory Guidance: https://www.fincen.gov/news/news-releases/new-fincen-guidance-affirms-its-longstanding-regulatory-framework-virtual
 
Federal Reserve says it is exploring a central bank digital currency: https://www.coindesk.com/fed-reserve-evaluating-digital-dollar-but-benefits-still-unclear-says-chairman 
 
His view that a CBDC should be designed by the private sector: 
https://www.theblockcrypto.com/post/69216/heres-how-brian-brooks-disagrees-with-fed-chair-jerome-powell-on-the-digital-dollar
The OCC’s Financial Inclusion Project: https://www.occ.gov/topics/consumers-and-communities/minority-outreach/project-reach.html
Learn more about your ad choices. Visit megaphone.fm/adchoices

49 min