Fed Ends ‘Novel Activities’ Program, Integrates Crypto and Fintech Oversight into Mainstream Supervision
The Federal Reserve has announced it will discontinue its dedicated “novel activities” supervision program, originally launched in 2023 to monitor banks’ involvement in cryptocurrency and fintech-related activities. The move signals that these sectors, once considered experimental, are now being treated as part of the mainstream financial system.
The “novel activities” program was created during a period of heightened concern over banks’ engagement with digital assets and emerging financial technologies. It gave regulators a sharper lens to assess risks tied to crypto custody, tokenization projects, and fintech partnerships. At the time, the Fed sought to build institutional expertise around new financial innovations while ensuring stability in the banking sector.
According to the Fed, the decision to fold crypto and fintech oversight into its core supervisory framework reflects a maturing understanding of these risks. Regulators now view such activities as sufficiently integrated into banking operations to be supervised under standard practices. This shift suggests that what was once novel has become business as usual. Rather than maintaining a separate regulatory silo, the Fed believes that digital finance risks can be adequately managed within the existing supervisory system.
The decision mirrors a broader global trend: regulators are gradually normalizing digital asset oversight rather than treating crypto and fintech as fringe activities. While dedicated scrutiny is being scaled back, supervision remains firm, reflecting a long-term integration of emerging finance into the regulatory mainstream.
For investors, the takeaway is straightforward: crypto and fintech are no longer treated as experimental sidelines; they’re part of the regular financial system now. This means the rules going forward will likely be clearer and more stable, giving the market more certainty when making investment decisions.
BTC Technical Analysis
Bitcoin is trading around $115,275, dropping sharply after failing to hold the $117,000 resistance zone. Price is now testing the highlighted demand zone near $115,000–$114,800, which will be crucial for buyers to defend.
The market structure has weakened, with BTC trading below the 20 EMA, 50 EMA, 100 EMA, and 200 EMA, signaling a short-term bearish bias.
- Support: $115,000 → $114,500
- Resistance: $117,000 → $118,000
- Stochastic RSI: Oversold (8.31), suggesting downside momentum may slow, with a potential relief bounce if support holds.
Between August 13 and August 15, 2025, Bitcoin ETFs posted net flows of $86.9 million, $230.8 million, and a modest –$12.1 million. The back-to-back inflows signal that institutional demand is still returning, even with a brief pause on the third day.
Overall, the trend suggests growing confidence in Bitcoin’s outlook. If inflows regain momentum, it could serve as a fresh catalyst to support short-term price recovery and strengthen the broader bullish narrative.
ETH Technical Analysis
Ethereum is at $4,304, following a sharp decline that broke below the 100 EMA and is now sitting inside the $4,280–$4,300 support zone.
If buyers can defend this zone, ETH could stabilize, but a breakdown would open room toward $4,200.
- Support: $4,280 → $4,200
- Resistance: $4,350 → $4,450
- Stochastic RSI: Deep oversold (9.31), suggesting ETH may be near a short-term bottom unless selling pressure continues.
Between August 13 and August 15, 2025, Ethereum ETFs recorded flows of $729 million, $639 million, and $59.3 million. Consecutive inflows over three days highlight a strong resurgence of institutional interest in ETH.
This steady pickup in demand reinforces confidence in Ethereum’s long-term positioning, especially as it continues to benefit from growing network activity and broader market optimism. Sustained inflows could act as a powerful driver for ETH’s short-term recovery and medium-term upside potential.
SOL Technical Analysis
Solana trades at $181.7, extending its drop from the $190 area. Price is hovering just above the $180 psychological support, with momentum heavily tilted bearish.
All EMAs have flipped into resistance, and failure to hold $180 could trigger a deeper retracement toward $175.
- Support: $180 → $175
- Resistance: $186 → $190
- Stochastic RSI: Extremely oversold (1.12), hinting at exhaustion in selling pressure and potential for a small bounce.
The latest data shows that DEX trading volume remains elevated in 2025 compared to prior years, but has eased off from the sharp spikes seen earlier this year. While activity is still well above 2023 levels, the recent moderation signals a cooldown in trading momentum, suggesting participants are becoming more selective in deploying liquidity within the decentralized ecosystem.
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