The U.S. Treasury Department is discussing whether to relax U.S. Treasury capital regulations.

BlockBeats News, April 16: Michael Faulkender, Deputy Secretary of the U.S. Treasury, stated that officials are discussing a possible rule change targeting banks. With the fall in U.S. Treasury yields last week, the "Supplementary Leverage Ratio" (SLR) regulatory requirement has been receiving increasing attention.

The record-breaking drop in U.S. Treasury yields in over two decades has raised concerns about a situation similar to the market meltdown in March 2020. Any rule changes would still require approval from the Federal Reserve and other regulatory agencies, although the chair of the Financial Stability Oversight Council is appointed by the Treasury Secretary. Faulkender stated at an event, "We are researching this issue and have begun discussions." (FXStreet)