Crypto Prices Leap After OCC Letter

In a new report gathered yesterday from the U.S Office of the Comptroller of the Currency (OCC), the bureau, in a bid to show its support for blockchain, has now issued a letter approval to Banks in the country to utilize blockchain networks in their operations. The good news didn’t just end there, as the new development has now coincided with crypto prices appreciating.

As observed by an analyst, Ether moved up by 12% compared to the previous losses experienced the previous day. On the other hand, Bitcoin, the leading cryptocurrency which has witnessed ATH prices in the last week and an unfortunate dip in prices in the last two days, has now also gone up by 5% since the new announcement by the OCC.

Speaking to the press about it, Justin Yashouafar, Managing Partner at Blockhead Capital, believes that investors will be delighted by the news of integration of blockchain into traditional banking and that this good news is the right step in the right direction for the growth of both cryptocurrency and banking in the country.

The new letter objects to an old regulation

The content of the sent letter said that various banks should participate in the vertex blockchain while adding that they must be abler to validate payments made with several digital assets. However, what is most important to note is that the letter is in objection to a bill requiring stablecoin issuers to obtain bank charters, introduced in the last congress session.

It is important to note that; last December, the Treasury Department of the U.S had enforced a new know-your-customer(KYC) on its citizens who were transferring their crypto from an exchange to a personal wallet. The new KYC’s aim was pegged at curbing fraud and illegal transactions, which has rampaged the country’s cryptocurrency space in the last one year.

Other stablecoins follow BTC and Ether footstep

In the analyst’s observation, BTC, which gained above 5%, and Ether with about 12% gains were not alone at the top, as a few native tokens also had positive reactions to the news on Monday. Stablecoin support networks like Algorand and Solana were not left behind as both networks were affiliated with price jumps.

Algorand reacted to the news by posing slightly more than 15% gain immediately. On the other hand, Solana did not have a positive reaction, but its stablecoin, which provides support for- USDC, had posted about a 0.5% gain.

Fortunately, Algorand’s stablecoin tether had also posted about a 1% gain in reaction to the newsletter. With no new surprise and in full expectation, BTC, which has gained over 15% this year already and currently trades slightly above $32,000, is expected to continue in its bull run regardless of whatever happens in the news.

On the other hand, Ether is still trying to reach its record high of $1,440 in January 2018 and currently trades at $1,039.38 as at the time of writing.