OCC warns of complex, interconnected risks in US banking beyond just bank runs.

The Office of the Comptroller of the Currency (OCC) highlights rising interconnected risks in the US banking system, including commercial credit deterioration, cyber threats, fraud, and operational challenges amid a higher-rate, digital financial environment. While the banking system remains resilient, the OCC stresses operational resilience as a core vulnerability, especially with technology modernization and third-party risks. Commercial real estate credit remains a key concern, alongside evolving liquidity risks and geopolitical tensions impacting inflation and compliance. The OCC also signals growing regulatory focus on digital assets and stablecoins, urging banks to prepare for these emerging areas. This marks a shift from focusing solely on deposit runs to addressing broader systemic risks in banking stability.