Fed Floats “Skinny” Master Accounts for Crypto and Fintech Firms
The Federal Reserve opened a public comment period for a proposal that could give legally eligible non-bank financial institutions restricted direct access to core Fed payment services. The plan would create a narrower version of a master account, giving fintech and crypto firms a potential path to faster clearing and settlement without granting bank-level privileges.
Bitcoin ETFs See $635M Outflow as BTC Falls Below $80,000
U.S. spot Bitcoin ETFs recorded their largest single-day withdrawal since late January, with $635 million in net outflows as Bitcoin slipped below the $80,000 mark and briefly traded near $79,400. The move extended a five-day reduction of about $1.26 billion, pressuring a market that had recently leaned on ETF demand for support.
Kraken wins Kansas City Fed approval for limited-purpose master account, gains direct Fedwire access
Kraken Financial secured a limited-purpose Federal Reserve master account from the Federal Reserve Bank of Kansas City, according to a statement by the bank. The approval gives Kraken direct connectivity to the Fed’s core payments infrastructure, including Fedwire, and reduces its need to route fiat settlement through correspondent banks.