Bank of America Urges Onchain Transition for U.S. Banks

Bank of America’s analysts have warned U.S. banks to ready themselves for a significant onchain finance shift driven by regulatory updates, as detailed in a report released on December 15, 2025.

The report outlines regulatory impacts on stablecoins and tokenized deposits, urging banks to gain blockchain proficiency to anticipate these impending changes.

U.S. Banks Advised to Embrace Blockchain Proficiency

Bank of America analysts, led by Ebrahim Poonawala, reported that U.S. banks should prepare for regulatory-driven onchain banking due to shifts from the OCC, FDIC, and Federal Reserve.

This preparation involves gaining blockchain fluency and experimenting with tokenized assets such as bonds, stocks, and cross-border payments, aligning with future regulatory needs.

Resource Allocation and Wealth Management Shifts Expected

Immediate impacts include a call for banks to allocate resources and training to handle onchain systems. This move may impact wealth management practices as Bank of America suggests crypto asset allocations.

Financial implications include reduced cross-border payment costs through 50% efficiency gains, enabling more cost-effective operations using tokenized assets and distributed ledger technologies like Hyperledger Fabric.

Comparing OCC Approvals with EU MiCA Regulations

Comparatively, the OCC’s approvals for digital trust charters echo EU’s Markets in Crypto-Assets Regulation, suggestive of an evolving regulatory environment supportive of digital assets.

Historically, as shown by JPMorgan’s Onyx platform, cost reductions by 50% indicate a favorable trend for blockchain integration, setting expectations for similar outcomes in future bank transitions.