Fed Seeks Input on Fed Accounts for Fintechs
The US Federal Reserve is seeking public input on a proposed “payment account,” also called a “skinny master account,” designed to offer fintech and crypto firms limited access to the central bank’s payment infrastructure without standard approvals. Fed Governor Christopher Waller said this move aims to foster payments innovation while maintaining system safety, reflecting rapid industry changes. These accounts would undergo streamlined reviews and have tighter risk controls, but would not provide privileges like interest, Fed credit, or unlimited balances that traditional master accounts enjoy. Some Fed officials, including Governor Michael Barr, expressed concerns over money laundering and terrorist financing risks, especially for unsupervised institutions. Major crypto firms such as Circle, Coinbase, Kraken, and Block, Inc. may seek these accounts, which could enhance crypto’s integration with traditional banking after previous restrictions. The Fed has also started exploring blockchain payment technologies. The window for public comments will close 45 days after the plan’s publication, and the feature is expected to launch in the fourth quarter of 2026.
