U.S. banks would be able to take large stakes in venture capital funds under a proposal to ease strict bank trading and investment rules introduced following the 2007-2009 global financial crisis, regulators said on Thursday.

The proposed changes form part of a broader overhaul of the so-called “Volcker Rule” long-hated by banks that was kicked off by the U.S. Federal Reserve in May 2018.

The first phase saw regulators ease the rule’s trading restrictions, and on Thursday regulators moved to simplify the so-called “cover funds” aspect of the rule that restricts bank investments in a range of funds.

One of Thursday’s key changes aims to fix what officials said was an unintentional outcome of the original rule. It restricts banks from investing in funds that in turn invest in venture capital, even though banks can still invest directly by buying stakes in startups.

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