The United States has taken another significant step toward mainstreaming digital assets within the traditional financial system. The Office of the Comptroller of the Currency (OCC), the federal regulator overseeing national banks, has issued new guidance allowing institutions to hold cryptocurrency on their balance sheets specifically to pay blockchain gas fees. The decision is being viewed as one of the clearest indications to date that federal policy toward digital assets is shifting toward more active support.
Regulators Authorize Banks to Hold Crypto for Operational Needs
The new position, outlined in Interpretive Letter No. 1186, states that national banks may keep the level of crypto assets they reasonably expect to need in order to conduct on-chain transactions tied to customer services, settlement functions, and custody operations. The OCC explained that blockchain networks such as Ethereum require fees paid in the network’s native token, and without direct access to those tokens, banks would face operational inefficiencies ranging from execution delays to exposure to market volatility when purchasing assets on demand.
The regulator stated that holding a controlled amount of crypto for operational purposes falls within the activities permitted for national banks. This clarification brings more regulatory certainty to institutions preparing to support tokenized settlement systems, digital asset custody, or blockchain-based payment rails.
The letter also outlined the limited alternatives banks previously relied on, including maintaining separate accounts with gas-fee providers, purchasing tokens immediately before transaction execution, or working through intermediaries. These approaches, according to the regulator, contributed to higher operational risk and increased banks’ exposure to market fluctuations.
By allowing institutions to directly maintain modest crypto balances, the OCC is aiming to reduce reliance on intermediaries, lower transaction friction, and enable more seamless participation in blockchain networks. The guidance specifically pointed to Ethereum as an example of a system where native tokens are essential for operational activity.
A Broader Turn in U.S. Regulatory Attitudes Underway
The policy update reflects a broader shift within U.S. federal agencies since the start of the current administration. Under new leadership, the OCC has placed greater emphasis on aligning bank policy with national priorities for digital asset integration. Since Jonathan Gould assumed the role of Comptroller earlier this year, several major changes have emerged across agencies.
The OCC confirmed permissible bank activities related to paying crypto-asset network fees, sometimes referred to as “gas fees.” Read more at https://t.co/fCIhmzWVLP. pic.twitter.com/SZFt4rHwEB
— OCC (@USOCC) November 18, 2025
The Federal Reserve withdrew earlier guidance that discouraged banks from interacting with digital assets. Both the Fed and OCC also released a joint clarification confirming that banks can hold crypto on behalf of customers. Institutions additionally received confirmation that buying and selling digital assets can be treated as a normal banking activity. Supervisory materials were updated as well, removing earlier warnings about reputational risk associated with crypto engagement.
Collectively, these actions appear designed to normalize digital asset participation across the regulated banking sector and lay the groundwork for tokenized settlement networks, stablecoin-related activity, and future blockchain-based finance.
Preparing the Banking System for Tokenized Settlement
The OCC’s updated position arrives as regulators continue to develop the long-term supervisory framework for stablecoins under the newly enacted GENIUS Act. While final rules concerning redemption structures, reserve obligations, and issuer oversight remain pending, transitional guidance increasingly recognizes that banks will require direct access to digital assets to support on-chain services.
The immediate implications for U.S. banks are highly practical. Being permitted to hold small amounts of crypto for gas fees provides institutions with the ability to test blockchain-based capabilities without operational uncertainty. This regulatory clarity may support a range of emerging use cases, including tokenized custody and settlement, wholesale stablecoin issuance, bank-managed blockchain infrastructure, and connectivity with digital asset exchanges and tokenized securities markets.
Toward a More Digitally Integrated Banking System
The OCC’s decision represents a substantial milestone in the integration of blockchain technologies into the traditional financial sector. By granting banks the authority to maintain crypto balances for operational needs, the regulator has created a more stable environment for institutions preparing to deploy or expand blockchain-oriented services.
The move signals a future where banks interact more directly with blockchain networks, participate in tokenized settlement systems, and support a broader spectrum of digital asset activity. With regulatory support now more clearly defined, institutional adoption may accelerate as banks explore blockchain applications designed to improve efficiency, reduce settlement times, and expand service capabilities across major networks.