The Federal Reserve has made a landmark decision that could significantly impact how U.S. banks interact with digital assets, such as XRP. By removing “reputational risk” from its supervisory framework, the Fed has effectively cleared a long-standing hurdle that discouraged banks from engaging with cryptocurrencies.
This change may now unlock institutional adoption of XRP and other blockchain-based assets in a way never seen before.
Fed Removes Reputational Risk from Oversight
The Federal Reserve’s announcement made it clear: reputational risk will no longer be part of examination programs for banks under its supervision. Instead, the Fed will replace vague, subjective notions of reputation with more defined evaluations of financial risk. According to the statement, the goal is to promote consistency and clarity across the banking system.
Importantly, the Board emphasized that this policy change does not eliminate the need for strong risk management. However, it no longer penalizes banks for engaging with crypto-related services purely because of perception or public opinion. This development allows banks to consider technologies and partnerships that. were previously avoided due to reputational concerns, rather than fundamental flaws.
BOOOM! The Fed just took the leash off $XRP 👀
Reputational risk? Gone
Banks can finally touch cryptoThen after 14 years of silence, Arthur Britto drops a “😶”? THAT'S A SIGNAL!
He’s a Ripple co-founder. He once said $10,000 per #XRP
Are you still bearish? I’m buying pic.twitter.com/34js5x0UqS
— X Finance Bull (@Xfinancebull) June 24, 2025
Crypto Community Reacts: “It’s XRP Time”
The crypto space responded swiftly. Prominent analyst X Finance Bull declared, “The Fed just took the leash off $XRP,” referencing the digital asset’s longstanding struggle for institutional recognition. For years, XRP, designed for fast, low-cost cross-border transactions, has been positioned as a global payments solution. Despite its technical benefits, concerns about reputation deterred many banks from adopting it.
This policy shift now positions XRP as a viable tool for financial institutions. Without the weight of reputational scrutiny, banks may feel freer to engage with RippleNet, explore XRP-based on-demand liquidity (ODL) solutions, or even custody the asset directly.
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Arthur Britto Breaks Silence After 14 Years
Adding to the timing and intrigue, Arthur Britto, co-founder of Ripple and co-creator of the XRP Ledger, made his first public post on X just after midnight on June 24. He simply posted an emoji, his first message in 14 years. Though cryptic, Britto’s silence-breaking post sent shockwaves through the XRP community.
Britto is known for his early statements that XRP was designed to handle global liquidity and that it could one day be valued as high as $10,000 per token. While speculative, his sudden return within hours of the Fed’s announcement was widely viewed as a signal.
XRP’s Institutional Future Looks Brighter
With reputational barriers removed, U.S. banks may now seriously consider XRP for practical use cases, including cross-border settlements, real-time treasury flows, and tokenized liquidity operations. XRP’s compliance-friendly nature, speed, and scalability make it a strong candidate for institutions seeking blockchain integration without regulatory headaches.
Whether Britto’s emoji was a coordinated hint or a mere coincidence remains unknown. But what’s clear is this: the regulatory environment just became significantly more favorable for XRP.
The leash is off. Now, the world watches what comes next.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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