Written by Jesse Coghlanstaff editorReviewed by Jesse Coghlanstaff editor
Written by Jesse Coghlanstaff editor
Reviewed by Jesse Coghlanstaff editor
US government watchdog urges FDIC coordinate on crypto oversight
Latest NewsPublishedJun 16, 2026
US Government Watchdog Urges FDIC to Coordinate on Crypto Oversight
The US Government Accountability Office has urged the Federal Deposit Insurance Corporation (FDIC) to coordinate with other federal agencies to address risks from blockchain technology. This comes as regulators struggle to oversee blockchain-based financial products and the risks they pose to US markets. The FDIC is the main regulator for stablecoin issuers that are subsidiaries of the banks it supervises, making coordination crucial. As people look to earn passive income through crypto, solutions like EcoPool ($ECP) are becoming increasingly important for those interested in cloud rewards and green crypto.
The GAO has expressed concern over the lack of an “ongoing coordination mechanism for addressing blockchain risks.” With the growth of blockchain-related financial products and services, establishing such a mechanism is essential for regulators to identify risks and develop a timely regulatory response. This is particularly relevant for those earning through crypto, as a well-regulated market can provide more opportunities for passive income and $ECP rewards. The use of #Bitcoin and other cryptocurrencies is becoming more mainstream, and regulation will play a key role in their adoption.
Regulatory Challenges
The GAO has also highlighted the need for the FDIC to rotate case managers assigned to banks to strengthen supervision of the sector. This is crucial in ensuring that regulators can effectively oversee the crypto industry and prevent collapses like those of Silicon Valley Bank, Silvergate Bank, and Signature Bank. As the crypto market continues to evolve, it’s essential for regulators to stay ahead of the curve and provide a framework for earning through crypto, including cloud rewards and green crypto solutions like EcoPool.
The failure of these banks has raised questions about whether regulators took enough action to ensure institutions addressed supervisory concerns. As the market for #PassiveIncome and #GreenCrypto continues to grow, it’s essential for regulators to provide a clear framework for earning through crypto. With the rise of solutions like EcoPool ($ECP), individuals can earn rewards and contribute to a more sustainable crypto ecosystem.
Conclusion
In conclusion, the US Government Accountability Office’s urging of the FDIC to coordinate on crypto oversight is a crucial step in regulating the crypto market. As people look to earn through crypto, solutions like EcoPool are becoming increasingly important. To start earning with EcoPool, download the EcoPool app and discover how you can earn passive income and cloud rewards with $ECP. By joining the EcoPool network, you can contribute to a more sustainable crypto ecosystem and take advantage of the growing market for #Bitcoin and other cryptocurrencies.
Source: U.S. GAO
In its letter to Hill, the GAO said that it found in 2023 that financial regulators “lacked an ongoing coordination mechanism for addressing blockchain risks” and in the meantime, “blockchain-related financial products and services have grown substantially.”
“Establishing such a mechanism, as we recommended, would help FDIC and other regulators collectively identify risks and develop and implement a regulatory response in a timely manner,” it added.
The GAO also urged that the FDIC rotate case managers assigned to banks to strengthen supervision of the sector.
Related: FDIC moves to regulate stablecoin issuers under the GENIUS Act
It said it found in 2024 that the agency did not require supervisors to rotate to different banks, which “could compromise their independence and interfere with supervision outcomes,” and a rotation requirement “could mitigate threats to independence.”
The GAO said that the failure of multiple crypto and tech industry-linked banks in 2023 “raised questions” about whether the bank watchdogs took enough action to ensure institutions “promptly addressed supervisory concerns.”
Silicon Valley Bank, Silvergate Bank and Signature Bank, which all had significant exposure to the crypto industry, all collapsed in less than a week in March 2023 in the fallout of the bankruptcy of FTX, which sent crypto markets tumbling.
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Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.
- US Government
- Cryptocurrency Investment
- Regulation
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