CryptoWorld News reports that the U.S. Blockchain Association supports the Federal Reserve's proposal to remove "reputational risk" from bank regulation. The association's Executive Vice President Ashok Pinto stated in a response letter to the Federal Reserve's request for comments that reputational risk should be established as an official rule. He pointed out that reputational risk has been used to restrict crypto companies from accessing banking services and could be exploited by other governments in the future. Pinto emphasized that regulation should maintain the integrity of the financial system rather than choosing winners and losers based on political trends. The Blockchain Association urges the Federal Reserve to finalize this rule as soon as possible.

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