Bitcoin Policy Institute BPI to Submit Public Comment to Federal Reserve on Risk Weight Provisions for BTC Under Basel Framework

DeepFlowTech · 2026-03-13T06:06:39+00:00

Bitcoin Policy Institute (BPI) will submit public comments on the Federal Reserve's upcoming implementation proposal for the Basel framework, calling for modifications to Bitcoin's high-risk asset classification in bank regulation. Currently, its risk weight stands at 1250%, significantly higher than other asset classes, which limits banks' ability to provide financial services to Bitcoin businesses.

DeepFlowTech

2026-03-13 06:06:39

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Deep Tide TechFlow News, March 13 — According to Cointelegraph, the Bitcoin Policy Institute (BPI) announced that it will submit public comments on the Federal Reserve’s upcoming Basel framework proposal, advocating for changes to how BTC’s asset risk weights are handled within the banking regulatory system.

Conner Brown, Executive Director of BPI, stated that under the Basel framework, BTC is classified as a high-risk asset with a 1,250% risk weight, higher than nearly all other asset classes, and is categorized as “the most stringent classification.” In comparison, cash, physical gold, and government bonds all have a risk weight of 0%.

A 1,250% capital requirement means banks must hold BTC with a 1:1 collateral ratio, significantly increasing the cost for banks to hold this asset and limiting their ability to provide financial services to BTC-related businesses.

BTC2,99%

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