Bloomberg: Traditional Banking Organizations Oppose Opening Federal Reserve Payment System to Crypto and Fintech Companies

Odaily News Bank Policy Institute, Clearing House Association, and Financial Services Forum have formally submitted a joint comment letter opposing granting direct access to the Federal Reserve's payment system to crypto and fintech companies.

The banking groups have requested a 12-month observation period before relevant companies can qualify for application and have urged the Federal Reserve to deny access to regulated stablecoin issuers until they can demonstrate safe operation. Additionally, the banking industry has expressed concerns about the "streamlined account" proposal, arguing that it lacks protective measures against new types of bank run risks. Currently, companies like Circle Internet Group Inc. and Stripe Inc. are seeking to bypass partner banks through this proposal. Previously, President Trump signed the Genius Act in July 2025, but the regulatory framework for stablecoin operators has not yet been finalized. (Bloomberg)