{"id":14033,"date":"2025-10-22T13:30:05","date_gmt":"2025-10-22T13:30:05","guid":{"rendered":"https:\/\/bitunikey.com\/news\/feds-new-proposal-could-end-cryptos-debanking-issues\/"},"modified":"2025-10-22T13:30:09","modified_gmt":"2025-10-22T13:30:09","slug":"feds-new-proposal-could-end-cryptos-debanking-issues","status":"publish","type":"post","link":"https:\/\/bitunikey.com\/news\/feds-new-proposal-could-end-cryptos-debanking-issues\/","title":{"rendered":"Fed\u2019s new proposal could end crypto\u2019s debanking issues"},"content":{"rendered":"<p><\/p>\n<div class=\"post-detail__content blocks\">\n<p class=\"is-style-lead\">The Federal Reserve is discussing a proposal to give fintechs and crypto platforms direct access to payment rails, ending their reliance on banks.<\/p>\n<div id=\"cn-block-summary-block_2348107f4e9a30010d7aca2683ec0917\" class=\"cn-block-summary\">\n<div class=\"cn-block-summary__nav tabs\">\n        <span class=\"tabs__item is-selected\">Summary<\/span>\n    <\/div>\n<div class=\"cn-block-summary__content\">\n<ul class=\"wp-block-list\">\n<li>Federal Reserve\u2019s new proposal could end crypto\u2019s reliance on partner banks<\/li>\n<li>The skinny master account would enable direct access to Fed\u2019s payment rails<\/li>\n<li>These accounts would still offer no interest or emergency borrowing<\/li>\n<\/ul><\/div>\n<\/div>\n<p><!-- .cn-block-summary --><\/p>\n<p>The U.S. Federal Reserve may soon roll out a system that fundamentally changes how crypto firms interact with TradFi. During the Fed\u2019s Payments Innovation conference on Tuesday, Oct. 21, Governor Christopher Waller outlined a proposal to enable fintechs and crypto platforms to tap directly into its core infrastructure, reducing their reliance on banks.<\/p>\n<p>Waller\u2019s <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/www.federalreserve.gov\/newsevents\/speech\/waller20251021a.htm\" target=\"_blank\" rel=\"nofollow\">proposal<\/a> centers on opening the Fed\u2019s payment rails to companies without banking charters, with what he called \u201cskinny master accounts.\u201d These accounts would come with some benefits that traditional master accounts offer to banks, but with important limitations.<\/p>\n<p>Notably, fintechs would get access to Fedwire and ACH payment rails, the ability to hold reserves with the Fed, as well as faster settlement. However, the accounts would not enable them to earn interest or give them access to the Fed\u2019s discount window.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p>\n<h2 class=\"wp-block-heading\">How Fed could let crypto firms bypass banks<\/h2>\n<p>So far, fintech and crypto platforms relied on banks with master accounts to access the core U.S. payments infrastructure. This has led to the issue of debanking. Namely, crypto firms found it difficult to find banks that would do business with them, with most banks finding their business \u201ctoo risky.\u201d <\/p>\n<p>The new \u201cskinny master accounts\u201d could make stablecoin issuers and fintechs much less reliant on banking intermediaries, said Jamie Elkaleh, chief marketing officer at Bitget Wallet for crypto.news. The system could also enable a more efficient bridge between crypto and the traditional payment system.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cFed could lower operational barriers and unlock billions in tokenized asset flows over the short term. Over time, enhanced stablecoin utility for seamless U.S. payments may reshape financial market structures toward hybrid TradFi\u2013DeFi ecosystems,\u201d Jamie Elkaleh, Bitget Wallet. <\/p>\n<\/blockquote>\n<p>    <!-- .cn-block-related-link --><\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Federal Reserve is discussing a proposal to give fintechs and crypto platforms direct access to payment rails, ending their reliance on banks. Summary Federal Reserve\u2019s new proposal could end&hellip;<\/p>\n","protected":false},"author":1,"featured_media":8363,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-14033","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/14033","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=14033"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/14033\/revisions"}],"predecessor-version":[{"id":14034,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/14033\/revisions\/14034"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/8363"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=14033"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=14033"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=14033"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}