Bowman Highlights Fed's Banking Supervision Approach
Washington, Thursday, 7 May 2026.
Federal Reserve Vice Chair Bowman testified before the Senate, outlining the Fed’s focus on systemic risk and capital requirements. Bowman noted banks’ share of mortgage originations dropped from 60% in 2008 to 35% in 2023.
Confronting Consumer Fraud and Tailoring Regulations
Beyond market share dynamics, Bowman is spearheading a renewed offensive against consumer fraud, which she warned “threatens the integrity and reliability of our financial system” [3]. The macroeconomic impact of these illicit activities is substantial; in 2024, 21 percent of American adults experienced financial scams, resulting in a staggering $63 billion net loss from non-credit card fraud alone [3]. Following a joint information request issued by the Federal Reserve, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency in June 2025, the central bank is now upgrading fraud-related tools for banks and developing a standardized fraud vocabulary [3]. To foster public-private solutions, the Federal Reserve is planning a collaborative roundtable featuring Treasury Secretary Scott Bessent and Federal Communications Commission Chairman Brendan Carr [alert! ‘The exact date for this roundtable has not been specified in the provided reports’] [3].
Navigating Digital Assets and Leadership Transitions
The regulatory landscape for digital assets is also coming into sharper focus, moving from exploratory phases to concrete rulemaking. The Federal Reserve is currently collaborating with other federal regulators to draft specific regulations for stablecoin issuers, a mandate required by the GENIUS Act [1]. This aligns with broader governmental momentum; on May 5, 2026, the Financial Stability Oversight Council convened in an executive session at the U.S. Treasury to discuss market resilience and stablecoin oversight [5]. Concurrently, the legislative branch is advancing its own cryptocurrency frameworks. A recent compromise negotiated by Senators Thom Tillis and Angela Alsobrooks aims to resolve disputes over digital asset exchanges paying annual percentage yields to stablecoin holders, potentially clearing the path for landmark crypto legislation [5].