Acting head of US OCC advocates for consolidated global supervision of crypto industry
During his speech, Hsu cited the bankruptcy of FTX as an example of why a consolidated "home" regulator is needed in the industry
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While giving a speech at the Institute of International Bankers conference in Washington, D.C. on March 6th, the acting head of the Comptroller of the Currency (OCC) in the United States, Michael Hsu, suggested that crypto companies that operate in multiple countries should be regulated by a single "home" regulator in order to prevent them from trying to evade regulations by playing games.
The OCC is a part of the Treasury Department and its primary responsibility is to regulate banks in the United States with the goal of maintaining a secure banking system.
During his speech, Hsu drew on traditional banking practices to provide insights for the crypto industry on how to maintain trust on a global level.
Hsu argued that if a crypto company operates in multiple jurisdictions without a single regulatory entity overseeing them, they could engage in activities that skirt regulations and conceal their true level of risk.
Hsu believes that a consolidated home country supervisor is needed to oversee global crypto players to determine which ones are trustworthy and which ones are not. He emphasised that currently, there is no consolidated supervision of any crypto platforms.
