Senior Fed officials: Employees should be allowed to hold a small amount of cryptocurrency

The top supervisory official of the Fed, Michelle Bowman, believes that central bank employees should be allowed to hold a small amount of cryptocurrency to better understand this technology. Speaking at the Wyoming Blockchain Conference 2025, she emphasized that a comprehensive ban could hinder the ability to recruit and retain experts knowledgeable in the field. Currently, Fed employees and their spouses are prohibited from owning crypto or related products since 2022, following an internal transaction scandal during the COVID-19 pandemic.

Bowman believes that loosening regulations will help the Fed build a more effective oversight framework and promote practical understanding. She urges regulators to be less cautious, asserting that blockchain can change the banking system whether financial institutions want it or not. This is also a step in line with the cryptocurrency-friendly direction of the Trump administration.