Key points:
- More than half of the respondents reported that their bank does not plan to take actions to increase or decrease the size of its balance sheet through the remainder of the year, and the majority of respondents indicated that their bank expects its balance sheet size to remain roughly unchanged over that same period.
- When asked about the relative priority of distributed ledger technology and crypto-related prod- ucts and services as a part of their bank’s growth and development strategy over the next two years, two-thirds of respondents cited that this was either not a priority or it was a low priority and about one-fourth cited that it was a medium or high priority. When the time period was shifted to the next two to five years, the responses were more spread out. Respondents were roughly evenly split with most citing that it was not a priority or a low priority for their bank, or citing that it was a medium to high priority for their bank.
- When asked about the expected impact of DLT or crypto-related products on their bank’s liquidity management practices in the next 2-5 years and 5-10 years, respondents generally reported that their bank does not see these technologies as having large effects on liquidity management, with most respondents reporting not important to moderately important for both time periods.
The full survey is available at https://www.federalreserve.gov/data/sfos/files/senior-financial-officer-survey-202205.pdf