logo

The Federal Reserve will initiate a 90-day consultation period for the Basel III proposal, with Bitcoin facing a 1250% risk weight

By: rootdata|2026/03/13 11:42:00
0
Share
copy

According to market news, Federal Reserve Vice Chair for Supervision Michelle Bowman stated that U.S. regulators will propose rules for implementing the final phase of the Basel III framework in the coming weeks, expected to be released during the week of March 17 to 21, followed by a 90-day public comment period.

The proposal is being coordinated by the Federal Reserve, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation. According to the global crypto framework finalized by the Basel Committee in 2022, btc-42">Bitcoin is classified as a Group 2b asset, which regulators consider difficult to hedge and inherently volatile, facing a risk weight of 1250%. This means that a bank holding $100 million in Bitcoin exposure will be viewed as having $1.25 billion in risk-weighted assets, requiring approximately $100 million in capital.

Compared to the zero risk weight for cash, gold, and U.S. Treasury securities, as well as the 20%-100% range for corporate loans, the capital treatment of Bitcoin is extremely harsh. Crypto industry institutions criticize the framework for misclassifying Bitcoin, hindering banks from providing related services.

-- Price

--

You may also like

How to balance risk and return in DeFi yields?

Have these yields ever been reasonable? Have we ever received the compensation we deserve for the risks taken in DeFi, and where should the future spreads be set?

Tom Lee's Ethereum Thesis: Why the Man Who Called the Last Cycle Is Doubling Down on Bitmine

Tom Lee is emerging as one of Ethereum’s most influential supporters. From Fundstrat to Bitmine, his Ethereum thesis combines staking yield, treasury accumulation, and long-term network value. Here is why “Tom Lee Ethereum” has become one of crypto’s most watched narratives.

Naval personally takes the stage: The historic collision between ordinary people and venture capital

Naval personally stepped in as the chairman of the USVC Investment Committee. This SEC-registered fund launched by AngelList attempts to bring top private tech assets like OpenAI, Anthropic, and xAI to the general public with a $500 entry threshold. It is not just a new fund, but a structural experi...

a16z Crypto: 9 Charts to Understand the Evolution Trends of Stablecoins

Stablecoins are evolving from trading tools into universal payment infrastructure, and this process is quieter and more thorough than most people expected.

Refutation of Yang Haipo's "The End of Cryptocurrency"

This may be the true test of cryptocurrency. It's not about whether the price has reached a new high, nor about who will achieve financial freedom in the next bull market, but rather whether, after all the grand narratives have been washed away by cycles, it can still leave behind some simpler, more...

Can a hairdryer earn $34,000? Interpreting the reflexivity paradox of prediction markets

Prediction markets are essentially betting on reality, and when participants can access or even influence this path earlier, the market no longer just reflects reality but begins to shape it in return.

Contents

Popular coins

Latest Crypto News

Read more