The U.S. Federal Reserve has taken decisive action against Customers Bank, highlighting significant compliance deficiencies in its digital asset strategy and instant payments network. The enforcement action mandates the bank to bolster its Anti-Money Laundering (AML) protocols and limit risks associated with its digital asset clients. This move underscores the increasing regulatory scrutiny on financial institutions involved in the crypto space in the United States. Additionally, the growing prominence of cryptocurrency is becoming a political wedge issue, further complicating the regulatory landscape. The recent collapses of Silicon Valley Bank (SVB) and Signature Bank have further highlighted the risks and regulatory challenges faced by American banks involved with the tech and crypto industries.
Federal Reserve Cracks Down on Customers Bank’s Crypto Strategy
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