The U.S. central bank is exploring a limited version of master accounts aimed at giving fintechs and crypto-related firms access to core payments infrastructure, seeking to balance financial innovation with systemic risk controls.
Master accounts are the gateway to critical Federal Reserve payment systems such as Fedwire and FedNow, enabling direct settlement and movement of funds without requiring correspondent banks. The newly proposed version would limit privileges typically associated with full master accounts — such as interest on reserves and access to central bank credit — while still allowing eligible non-bank institutions to use central payment rails for settlement activities. The accounts would include built-in risk controls, balance caps, and other safeguards to maintain the safety and soundness of the broader financial system.
The idea has been championed by Federal Reserve Governor Christopher Waller, who has publicly supported giving companies that are innovating in payment solutions — including stablecoin issuers and fintech platforms — more direct access to central bank infrastructure. By tailoring the level of access to the risk profile of such firms, the Fed aims to support payments innovation without compromising the integrity of its systems.
Governor Waller framed the concept as part of a broader shift: “This is a new era for the Federal Reserve in payments,” he said, noting that distributed ledgers and the decentralized finance sector are increasingly woven into payment systems. The Fed is seeking public feedback on the concept and expects an operational rollout by the fourth quarter of 2026.
A potential new pathway to access central bank payment systems
This move aligns with broader policy shifts by the Fed, which recently withdrew a restrictive 2023 guideline that had effectively barred many state-chartered banks from engaging in certain crypto-related activities. The rescission of that policy has opened the door for banks focused on digital assets to pursue access to central banking services on a case-by-case basis.
The ongoing discourse around master accounts reflects an evolving regulatory approach to integrating digital asset technologies into core financial infrastructure. Lawmakers, regulators and industry stakeholders are weighing how to extend necessary safeguards while fostering innovation — particularly as interest grows in stablecoin settlement, tokenized markets, and other blockchain-based financial services.
