The U.S. Federal Deposit Insurance Corporation (FDIC) is about to change its rules. This will let banks take part in crypto activities. This move could open the door for banks to work with cryptocurrencies without needing approval first.

The FDIC is set to update its rules as part of a bigger shift in U.S. policy. Under the Trump administration, there was more support for crypto. Now, the FDIC wants to make it easier for banks to get involved in crypto. Reports say the FDIC might allow banks to offer “tokenized deposits.” This could mean that some bank accounts are linked to blockchain networks.

Many banks want to join the crypto world, but they have faced challenges. Acting FDIC Chairman Travis Hill said banks had to wait a long time for approval. They also had to answer many questions. This has made it hard for banks to join the market. Hill said the FDIC wants to fix these problems to make it easier for banks.

The FDIC also released some documents after a lawsuit by Coinbase. Coinbase asked for more transparency on how the FDIC handles crypto. These documents could give more details about the FDIC’s approach to crypto.

If the FDIC changes its rules, banks will likely move into the crypto space quickly. Bank of America’s CEO, Brian Moynihan, said that once it’s legal, banks will start crypto transactions. Experts like Standard Chartered think Bitcoin could rise to $500,000 by 2028. This change could help reduce the risks of crypto and make it more popular worldwide.

The FDIC is about to change its rules, which could let banks enter the crypto world. If this happens, we may see more banks working with digital assets. This move could help crypto grow and become a bigger part of the financial system.