Traditional finance (TradFi) and crypto are changing faster than ever. The year 2025 will be a turning point for digital assets in the banking field. Several changes in regulations, such as the strategic Bitcoin reserve and a new look at SEC crypto policy, have marked the start of a new era for institutions working with crypto. The Office of the Comptroller of the Currency (OCC), which has long been a gatekeeper of U.S. banking operations, may have made the most important change. Its March 2025 release of Interpretative Letter 1183 makes it much clearer how banks can deal with digital assets. Together, this important change and changes in FDIC policy make it possible for crypto to become more fully integrated into the normal of finance.
Crypto’s Too Big to Ignore
Crypto’s market value has grown into trillions of dollars, which has forced Traditional finance (TradFi) companies to add digital assets to their services. Wall Street firms, banks, and even the government are starting to understand how much people want to invest in crypto. Surveys show that over 50% of Gen-Z and nearly 49% of Millennials hold cryptocurrency. This shows that interest is growing, especially among Millennials and Gen-Z.
The FDIC and OCC Move Together
Much of the news about digital assets is about state-backed purchases and Bitcoin reserves, but real structural change is happening at the legislative level. The FDIC’s Notice of Proposed Rulemaking from September 2024 adds strict recording rules for crypto service-linked custodial accounts. To ensure that both banks and nonbank fintech companies operate under strict regulatory control, these rules require daily reconciliations, ownership disclosures, and compliance certifications.
Crypto payments will rise
Many people have invested in digital assets, but crypto purchases have been slow to catch on. Only 17% of Americans have ever used cryptocurrency to pay for something. Fears of security breaches, hacks, and price swings have kept more people from using it.
Conclusion
The OCC’s new policy is more than just a change to the rules; it sends a clear message that crypto is no longer a niche asset class but an important part of the modern financial system. In the future, digital assets will be a normal part of financial services.
