The Federal Reserve seeks public input on payment accounts and may allow cryptocurrency companies direct access to the central bank system

The Federal Reserve is seeking public comments on the establishment of a special purpose payment account. This account is designed to provide eligible financial institutions (including crypto companies and fintech firms) with direct access to the central bank's payment system for clearing and settlement purposes.

Federal Reserve Governor Christopher J. Waller stated that the new payment account will support innovation and ensure the security of the payment system. Unlike traditional general master accounts, this account does not pay interest, does not have overdraft privileges, and has a balance limit, but its approval process will be more streamlined. The comment period is 45 days and aims to respond to the evolution of payment methods and enhance system efficiency.