The Bitcoin Policy Institute (BPI) is urging the US Federal Reserve (Fed) to change its treatment of Bitcoin as a "toxic asset". This comes as the Fed is set to issue rules on how banks should implement international guidelines for asset risk weighting. BPI managing director Conner Brown stated that Bitcoin carries a 1,250% risk weight, making it more costly for banks to back any Bitcoin on their balance sheets at a 1:1 ratio with approved collateral. The Federal Reserve will also propose rules to implement the final phase of Basel in the US.