Trump orders review of Fed master-account access for crypto

President Donald Trump signed an executive order on May 19 directing federal regulators to review policies that bar crypto firms and fintechs from accessing Federal Reserve master accounts. The order gives agencies 90 days to identify rules that hinder access and 180 days to recommend changes.

Federal Reserve master accounts provide direct entry to the Fed’s wholesale payment systems and settlement services. Those accounts are currently limited to depository institutions; broader access would let nonbank firms participate directly in interbank payments and certain settlement operations.

The order instructs agencies to update policies so digital assets and new technologies can be integrated into traditional financial services and payment systems. The administration described the review as part of an effort to modernize the U.S. payment system and clarify how fintechs and crypto companies can use federal payment infrastructure.

The action follows complaints from crypto firms and startups that banks cut ties with them, a practice industry participants call debanking. Proponents of wider access to Fed rails say it could reduce reliance on correspondent banking and create clearer paths for fintechs to operate within regulated payment networks.

Not all stakeholders backed the directive. Senator Elizabeth Warren criticized recent approvals by the Office of the Comptroller of the Currency that granted national trust charters to firms including Ripple and Circle. Warren wrote that allowing national trust companies to act like full-service national banks while avoiding the full suite of restrictions and safeguards would pose clear risks to consumers and to the safety and soundness of the banking system. She demanded that regulators turn over all applications and supporting documents connected to the approvals, including any links to Trump’s crypto ventures.

The American Bankers Association urged regulators to maintain existing safety standards while allowing innovation. The ABA said, “We urge the banking regulators to conduct their requested review in a way that allows for innovation but doesn’t compromise the safe and sound financial system we have today.”

Regulators must now prepare recommendations that could change which entities can hold master accounts and use the Fed’s payment networks. Any policy changes would require clear rules on eligibility, supervisory expectations, and consumer protections for nonbank access to central bank payment services.