🏦 OPEN DOOR TO THE FEDERAL DOLLAR?
The #Fed is studying to create a "Reduced Master Account" for Crypto companies
The Central Bank of the U.S. launches a public consultation to allow non-bank institutions to access its payment systems directly, a move that could free the industry from traditional banks.
The Federal Reserve is exploring a hybrid territory that promises to streamline global financial infrastructure.
Direct Access to Liquidity: The proposal for a "payment account" (or reduced master account) would allow eligible companies —potentially including digital asset firms— to settle payments directly with the Fed without relying on intermediary banks.
Limited Privileges: Unlike a full master account, this version would not generate interest on balances and would have restrictions on overdrafts, functioning primarily as an ultra-fast and secure "rail" for payments.
Christopher Waller (Fed Governor): Defends the measure as a vital step for innovation and security in modern payments.
Michael Barr (Vice Chair for Supervision): Opposes it, warning that the proposal lacks specific safeguards against money laundering and terrorist financing in unsupervised entities.
Political Backing: Senator Cynthia Lummis, a known advocate for #bitcoin in Congress, has celebrated the announcement as a crucial step to make payments "faster, cheaper, and safer," eliminating the barriers that financial innovation companies face today.
