Banks are now officially allowed to use digital assets to pay the network fees required when processing transactions on certain blockchain systems.
In a newly published letter, the Treasury affiliated authority confirmed that banks may hold specific digital assets on their balance sheets to cover operational fees arising from blockchain based activities. This decision resolves a long standing question at the intersection of traditional banking operations and distributed ledger technology, affirming that required network charges can be paid in digital form within the regulatory framework.
The letter cited leading smart contract networks as an example and emphasized that some blockchain systems require fees to be paid in their native asset. Banks may therefore choose to maintain a reserve of such assets or rely on external providers for spot purchases. According to the regulator, holding a dedicated reserve could reduce operational risk, cost pressure and timing issues.
Over the past year, US financial authorities have gradually eased restrictions on banks’ interactions with digital assets, revising guidance on custody services, trading permissions and risk terminology. The latest letter is viewed as an extension of that shift, providing banks with a clearer and more predictable legal basis as they integrate blockchain powered infrastructure into their operations.
