Banks push back as Kraken gains access to Federal Reserve Payment system
A U.S. banking industry group, the Bank Policy Institute (BPI), has criticized the Federal Reserve’s decision to grant Kraken Financial a limited-purpose master account, warning it could introduce risks to the payment system and set a precedent for crypto-focused institutions. The approval, granted by the Federal Reserve Bank of Kansas City, allows Kraken—a Wyoming Special Purpose Depository Institution (SPDI)—restricted access to the Fed’s infrastructure. BPI expressed concern that the move occurred before the Federal Reserve finalized its broader policy framework, raising issues of transparency and regulatory consistency. The dispute highlights ongoing tensions between traditional banks and crypto firms over access to financial infrastructure and regulatory oversight.
ambcrypto03/04 17:54
