Fed Proposes ‘Slimmed-Down’ Master Accounts That Could Ease Crypto Payments Clearing

Federal Reserve master accounts allow eligible depository institutions to access central-bank payment rails such as Fedwire and FedNow directly, without clearing through correspondent banks. Crypto and fintech companies, however, have struggled for years to obtain them. Limited accounts could reduce transfer costs and processing times if made available to eligible firms, including those holding state special-purpose depository institution charters, but would not amount to a broad relaxation of eligibility rules for nonbanks.

The Federal Reserve Board proposed revisions on May 20, 2026, and published them in the Federal Register on May 26, with public comments due by July 27. The accounts would not permit intraday overdrafts or access to the discount window and would not earn interest. Closing balances would be set according to projected payment volumes and capped at $1 billion. Regional Federal Reserve Banks have paused Tier 3 applications until the framework is finalized.