HKAN | Dec 1

In a major development for U.S. crypto adoption, a new report indicates that Federal Reserve Chair Jerome Powell has confirmed that every U.S. bank is free to offer Ethereum services. This includes custody, transaction processing, and ETH-related financial products, provided institutions meet standard regulatory and risk requirements.

Powell’s reported remarks signal a significant shift in the regulatory environment, opening the door for traditional financial institutions to engage with Ethereum on a broad scale. The move positions ETH as one of the first digital assets to receive explicit acceptance across the banking sector.

Banks Cleared to Integrate Ethereum

According to the reported comments, U.S. banks can now:

Custody Ethereum for retail and institutional clients
Offer ETH transaction and settlement services
Build financial products tied to ETH
Provide Ethereum access through digital asset platforms
Integrate ETH with existing payment and lending systems

This aligns with growing institutional interest in Ethereum as a core infrastructure layer for decentralized applications, smart contracts, tokenization, and future financial rails.

A Major Milestone for ETH Adoption

Analysts say this confirmation could be transformative for Ethereum and the wider crypto ecosystem:

Mainstream access expands dramatically through trusted banking channels
ETH could see increased institutional inflows and liquidity
Traditional finance may accelerate blockchain-based product development
Public confidence in regulated crypto services may strengthen

Powell’s reported stance suggests the U.S. is preparing for deeper integration of digital assets within its traditional banking system, with Ethereum at the forefront.