Kraken has secured a master account with the Federal Reserve, but the risk-mitigation conditions tied to the account — and similar approvals that may follow — could introduce new vulnerabilities in the U.S. financial system.
A US lawmaker grilled officials at the Federal Reserve Bank of Kansas City after Kraken’s Wyoming-chartered banking arm became the first crypto-native firm to receive a Fed master account in March. The questioning centered on the approval process, transparency and potential risks to financial stability.
Bitcoin is trading near $73,979.85 as markets pause for Fed Chair Jerome Powell’s comments on oil and inflation ahead of today’s rate decision; traders are watching for signals that policy support for risk assets may ebb.
The Bitcoin Policy Institute has pushed back on Basel-derived capital rules it calls “toxic,” urging U.S. regulators to treat Bitcoin appropriately as the Federal Reserve advances proposals to implement the Basel framework. The group's action could influence how banks are allowed to custody, lend, or hold crypto exposures.
The Senate voted overwhelmingly to approve a bipartisan housing bill that includes a ban on central bank digital currencies (CBDCs). The measure still faces an uncertain path in the House and potential resistance at the White House.
The Senate prepares to vote on Kevin Warsh, President Trump's nominee for Federal Reserve chair, as Bitcoin climbs to a four-week high amid optimism over potential policy shifts.
Kraken is the first digital-asset firm granted direct access to the Federal Reserve’s primary payments system, enabling direct USD settlement and faster bank-grade transfers. The move marks a milestone in institutional integration and could reduce settlement friction for crypto markets.
A clause in a U.S. housing bill would bar the Federal Reserve from offering a consumer-facing digital dollar until 2030, delaying any retail CBDC rollout. The measure represents a legislative rebuke to CBDC proponents and could reshape the policy timetable.
U.S. PCE inflation came in at 2.9% year-over-year, hotter than expected. Bitcoin fell sharply after the release as markets reassessed the Fed's rate outlook.
Sen. Elizabeth Warren urged the Treasury Department and the Federal Reserve not to use taxpayer funds to rescue cryptocurrency billionaires or other heavily leveraged crypto investors, warning against socializing private losses.