FDIC has tightened regulations on crypto advertising and signage


The last major revision to the FDIC’s regulations governing signs and advertisements was in 2006; thus, this action is long overdue.

Adopting a new regulation, the United States’ Federal Deposit Insurance Corporation (FDIC) has made a big move that will affect how certain crypto companies market and present themselves to the public.

The Federal Deposit Insurance Corporation (FDIC) announced on December 20 that its board of directors has completed rules to prohibit “false advertising, misrepresentations of deposit insurance coverage, and misuse of the FDIC’s name or logo.”

The last major revision to the FDIC’s regulations governing signs and advertisements was in 2006; thus, this action is long overdue.

Among the most noticeable changes brought about by this regulation is the insistence that all FDIC-insured banks adopt a new sign color scheme of black and navy blue, as opposed to the previous color scheme of gold and black that had been in use since the 1930s.

As of the year 2025, this new sign must be shown clearly on all digital platforms, physical bank branches, and certain automated teller machines.

It is well known that the cryptocurrency market has been subject to widespread misuse, with some businesses deceiving clients into thinking their money was FDIC-insured, even though the FDIC has stressed that the crypto industry is not the intended focus of these upgrades.

Better Markets’ president and CEO, Dennis Kelleher, praised the FDIC’s move and said that new regulations were required to tackle this wrongdoing.

There have been accusations that prominent cryptocurrency businesses such as Gemini Earn, FTX US, and Voyager Digital misled investors about FDIC protection.

Following the failure, closure by regulators, or voluntary liquidation of many banks with connections to crypto enterprises in 2023, the crypto sector has been under more scrutiny recently.

In order to resolve these concerns, including the closing of Signature Bank, the FDIC had to collaborate closely with the New York State Department of Financial Services.

The absence of FDIC protection, which might put user cash at risk, was also highlighted in a June warning from the Consumer Financial Protection Bureau about payment applications that enable crypto transactions.

On the whole, it’s a huge step forward in the fight against crypto fraud that the FDIC has decided to revise its laws and regulations on symbols and advertising.

The Federal Deposit Insurance Corporation (FDIC) has acknowledged the crypto industry’s unique difficulties, calling the sector a “novel and complex risk” to American banks because of its unclear regulatory and legal standing.

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