US banks are expanding their roles in the cryptocurrency world as new regulatory guidelines allow them greater involvement in crypto custody and services. The shift marks a significant change toward a more integrated financial system that blends traditional banking with digital assets. This expansion is driven by key US financial authorities such as the SEC and OCC, who have recently relaxed their policies to facilitate bank participation in crypto activities without prior approvals. This means banks can now offer custody and execution services for Bitcoin, Ethereum, and stablecoins. Jonathan McKernan, Director of OCC, has confirmed this change, stating that “OCC affirms banks can engage in crypto custody and execution activities…including outsourcing to third parties and direct customer buy/sell.” The shift is already impacting financial markets, with potential implications like increased institutional involvement and resources allocated to the digital asset infrastructure. It also raises discussions on oversight and innovation within the cryptocurrency landscape.