The Financial Stability Oversight Council (FSOC) has removed the crypto sector from its list of financial risks to the U.S. system in the latest report, shifting focus away from vulnerabilities to overall financial stability. The 2025 report no longer explicitly mentions concerns about digital assets, highlighting a shift in regulatory perspective. The document emphasizes the importance of sustainable economic growth and security in addition to monitoring vulnerabilities. Unlike the 2024 report, this year’s version does not include specific recommendations for regulating digital assets, instead referencing the President’s Working Group report on U.S. crypto activity for guidance. U.S. financial regulators are now more supportive of the crypto industry, acknowledging its strengths while cautioning against potential illicit finance activities involving stablecoins.

Read more at Yahoo Finance: U.S. Financial-Risk Watchdog, FSOC, Erased Digital Assets as a Potential Hazard