Inspector General Calls for FDIC to Improve Crypto Risk Assessment Process and Guidance

The Inspector General’s Office (OIG) of the Federal Deposit Insurance Corporation (FDIC), an independent entity of the U.S. government that provides deposit insurance for commercial and savings banks, has released an evaluation report concerning the corporation’s strategy for managing risks associated with crypto assets. A redacted version of the report is now available to the public.

According to the OIG, the FDIC implemented a “bottom up” approach to address crypto risk in early 2022. This method involves gaining insight into the crypto-related activities of supervised institutions, offering feedback on a case-by-case basis, and providing broader guidance for the industry in collaboration with other agencies.