Banking Authority Guidance

Definition ∞ Banking Authority Guidance comprises official recommendations and directives issued by financial regulators to institutions under their supervision. This guidance outlines expectations for risk management, compliance, and operational standards. It applies particularly to new financial products or technologies, including digital assets. The objective is to ensure financial stability and consumer protection.
Context ∞ Regulatory bodies worldwide are continuously issuing banking authority guidance concerning digital assets and blockchain technology. Key discussions revolve around capital requirements for crypto exposures and anti-money laundering measures. Future updates will likely clarify how traditional banking rules apply to decentralized finance activities and stablecoins.