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Techub News reports that, according to Cointelegraph, Ashok Pinto, Executive Vice President of the Blockchain Association, stated in a letter to the Federal Reserve that the association strongly supports the formal removal of "reputational risk" from the banking regulatory framework and its inclusion in the rules, emphasizing that regulation should be objective and consistent, and should not selectively target specific industries based on political factors.
Previously, reputational risk had been used to "debank" crypto companies. Pinto pointed out that the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation finalized similar rules on April 7. The Federal Reserve should coordinate with them to provide bipartisan protection for future government transitions, ensuring that lawfully operating businesses receive a clear and predictable regulatory environment.