OCC Advances Key Priorities Under Acting Comptroller Rodney E. Hood

WASHINGTON—Acting Comptroller of the Currency Rodney E. Hood’s five-month tenure at the Office of the Comptroller of the Currency (OCC) was marked by measurable progress in strengthening the federal banking system, reducing regulatory burden, promoting financial inclusion, expanding bank activities involving digital assets and embracing bank-fintech partnerships.

“Serving as the Acting Comptroller of the Currency has been the capstone of my career,” said Mr. Hood. “Since my arrival, I demonstrated that ‘acting’ does not mean ‘inactive’ and I am immensely proud of all the OCC has accomplished in a short amount of time to advance the safety, soundness and fairness of the federal banking system. The system is stronger, more resilient, more inclusive and more innovative today than when I arrived. It was my privilege to lead an agency of talented professionals, whose knowledge, expertise and creativity is unmatched in the financial services sector, and I want to extend my heartfelt thanks to them all.”

Strengthening the Federal Banking System and Supervisory Oversight

The OCC focused on strengthening the federal banking system by directing several significant initiatives.

• April 18, 2025, the OCC announced conditional approval for the merger of Discover Bank into Capital One and highlighted its commitment to a regulatory framework that expands access to financial services for consumers, businesses and communities.
• June 9, 2025, the OCC released a letter reaffirming its support and defense of preemption as a cornerstone of the dual banking system that is fundamental to the operation of the federal banking system.
• June 16, 2025, federal bank regulatory agencies announced a request for comment on potential actions to help consumers, businesses, and financial institutions mitigate risk of payments fraud, with a particular focus on check fraud.

Reducing Regulatory Burden

The OCC worked diligently to promote a regulatory framework that is effective, not excessive.

• Feb. 11, 2025, the OCC announced its withdrawal from International Climate Organization and emphasized the OCC’s focus on fulfilling its core mission.
• March 20, 2025, the OCC announced it will no longer examine for reputation risk and will instead focus future examination activities on more transparent risk areas – clarifying that the OCC has not and does not make business decisions for banks.
• March 31, 2025, the OCC withdrew principles for climate-related financial risk management for large financial institutions because they are overly burdensome and duplicative. The OCC’s existing guidance applies to all activities conducted by supervised institutions and includes potential exposures to severe weather events or natural disasters.
• April 16, 2025, Acting Comptroller Hood discussed agency priorities to reduce regulatory burden; promote financial inclusion; embrace bank-fintech partnerships; and expand responsible bank activities involving digital assets.
• May 8, 2025, an interim final rule on bank mergers restored the streamlined application and expedited review to the OCC’s procedures for evaluating bank merger applications. This restoration makes it easier for well-managed and well-capitalized banks to merge, promotes competition, and facilitates economic growth and innovation.
• May 8, 2025, Acting Comptroller Hood discussed agency priorities, highlighting the OCC’s work to reduce regulatory burden, improve financial inclusion, support innovations in financial technology, and digital assets in the federal banking system.
• June 3, 2025, Acting Comptroller Hood discussed his regulatory agenda to embrace bank-fintech partnerships, expand bank activities involving digital assets, promote financial inclusion and reduce regulatory burden to support a dynamic banking sector that will enable individuals, communities and the economy to thrive and grow.
• June 25, 2025, Acting Comptroller Hood issued a statement supporting an interagency notice of proposed rulemaking to modify the enhanced supplementary leverage ratio to reduce burden and help promote the smooth functioning of U.S. Treasury markets.
• June 27, 2025, federal bank regulatory agencies requested comment on a proposal to modify certain regulatory capital standards to reduce disincentives for banking organizations to engage in lower-risk activities and promote the smooth functioning of U.S. Treasury markets.
• June 27, 2025, federal bank regulatory agencies issued an order granting an exemption from a requirement of the Customer Identification Program Rule permitting a bank or credit union to use an alternative collection method to obtain taxpayer identification number information from a third-party rather than from the customer. Acting Comptroller Hood issued a statement in support of the order, noting benefits to both consumers and the banking industry by promoting innovation and financial inclusion and providing banks more flexibility to operate in a manner that suits their business model.

Promoting Financial Inclusion

The OCC reinforced its commitment to financial inclusion as a regulatory objective and cornerstone of economic empowerment.

• March 24, 2025, Acting Comptroller Hood discussed financial inclusion, highlighting the work of OCC’s Project REACh to support affordable homeownership.
• March 27, 2025, Acting Comptroller Hood encouraged innovation to foster financial inclusion in economically disadvantaged communities for both consumers and small businesses, particularly using financial technology tools.
• April 1, 2025, the OCC recognized April as National Financial Literacy Month and encouraged national banks and federal savings associations to support efforts to improve the financial literacy and financial health of their customers.
• April 30, 2025, Mr. Hood discussed how financial literacy helps drive the financial system and helps consumers build wealth for themselves and future generations.
• May 29, 2025, Acting Comptroller Hood discussed the importance of financial literacy education and encouraged banks to consider how they can support customers’ financial health.
• June 28, 2025, Mr. Hood reiterated homeownership as a pathway to financial inclusion and generational wealth in recognition of National Homeownership Month.

Expanding Bank Activities with Digital Assets

The OCC took several steps to provide clarity and expand bank activities with digital assets, while maintaining the safety, soundness and fairness of the federal banking system.

• March 7, 2025, Interpretive Letter 1183 confirmed that crypto-asset custody, certain stablecoin activities, and participation in independent node verification networks such as distributed ledger are permissible for national banks and federal savings associations. The letter also rescinded a cumbersome “non-objection” process imposed on banks prior to their engagement with digital assets.
• May 5, 2025, the OCC issued a Request for Information on community bank digitalization to better understand and address the specific obstacles that community banks encounter in the adoption and implementation of digital banking solutions.
• May 7, 2025, Interpretive Letter 1184 confirmed that national banks and federal savings associations may buy and sell assets held in custody at the customer’s direction and are permitted to outsource to third parties bank-permissible crypto-asset activities, including custody and execution services.
• July 14, 2025, federal bank regulatory agencies provided clarity on banks’ engagement in crypto-asset-related activities with a statement highlighting potential risk-management considerations related to holding crypto-assets on their customers’ behalf, or crypto-asset safekeeping.

Embracing Bank-fintech Partnerships

The OCC embraced bank-fintech partnerships and innovative ways to enhance customer experience and improve operational efficiency.

• March 17, 2025, the OCC announced conditional approval of a financial technology business model for a national bank.
• April 29, 2025, Acting Comptroller Hood discussed the role of artificial intelligence in financial services.

Acting Comptroller Hood’s tenure at the OCC leaves a legacy of reform, innovative engagement with emerging technologies, and a focus on financial inclusion. His actions have supported a robust, fair, and future-ready federal banking system.