Fed Mulls ‘Skinny’ Payment Accounts to Open Rails for Fintech, Crypto Firms

Why It Matters

Industry participants hailed the idea as a major thaw in crypto’s banking squeeze, while critics warn it could invite regulatory pushback and political scrutiny framed as a second-wave “Operation Chokepoint.

Summary

The Federal Reserve is considering creating limited “skinny” master accounts to give fintech and crypto firms direct access to U.S. payment rails, a move aimed at easing the sector’s chronic banking access problems. The proposal would permit restricted payment and settlement functionality rather than full banking services, potentially reducing these firms’ dependence on correspondent banks. Industry participants hailed the idea as a major thaw in crypto’s banking squeeze, while critics warn it could invite regulatory pushback and political scrutiny framed as a second-wave “Operation Chokepoint.”