The U.S. Treasury Allows Banks to Pay Gas Fees with Cryptocurrency

The Financial Office of the U.S. Treasury Department has officially announced that banks can pay the necessary gas fees for transactions on certain blockchain networks with cryptocurrencies. This development clarifies a long-discussed issue in the crypto world, further strengthening the bridges between traditional banking operations and blockchain-based payments.

In a newly published letter, it was stated that banks can cover gas fees by holding certain cryptocurrencies on their balance sheets. Specifically referencing Ethereum (ETH), the Financial Office recalled that transactions on this network are directly charged in ETH. Accordingly, banks must either hold ETH directly or obtain this asset from third-party providers to perform these payments.

Furthermore, it was emphasized that maintaining ETH in a separate account for transactions on the Ethereum network or purchasing ETH from the market prior to transactions could increase costs and create operational risks for institutional banks. This situation creates a foundation for banks to integrate more effectively and quickly into blockchain-based systems.

In the past year, especially during the Trump administration, a noticeable softening in the policies of U.S. financial institutions regarding cryptocurrencies has been observed. The removal of various regulations that previously complicated banks' interactions with cryptocurrencies and steps such as the Federal Reserve retracting its old recommendations have contributed to the adoption of the crypto ecosystem. The Financial Office has also clarified the framework for banks to offer services such as crypto custody on behalf of customers, taking a leadership role in this area.

The newly established regulations will facilitate the integration of banks into blockchain-based infrastructures and provide a more predictable legal framework for financial transactions. For investors, these developments represent an important turning point, enabling banks to use cryptocurrencies more freely to cover network fees.