Fed proposes limited-access master accounts, potentially benefiting crypto firms like Ripple and Anchorage
The Fed proposed limited-access master accounts, potentially allowing crypto firms direct access to payment rails.Summary
The Federal Reserve is exploring a new framework for limited-access master accounts, which would allow eligible financial institutions, including fintech and digital asset firms, to access the Fed’s payment rails directly without relying on intermediary banking partners. Federal Reserve Governor Chris Waller announced this exploration at the Payments Innovation Conference. This new "master account lite" framework could significantly benefit firms like Ripple, Anchorage, Custodia Bank, and Kraken, which have sought direct Fed master accounts for years. A Fed master account allows institutions to directly send, receive, and settle payments, and hold funds with the central bank, a privilege typically reserved for regulated banks.
(Source：Crypto Briefing)