US Edition
Maxine Waters Seeks Clarity On Kansas City Fed's Approval Giving This Crypto Exchange Access To 'Critical' Financial Infrastructure
Rep. Waters questions the Kansas City Fed's rare approval of Kraken's limited-purpose account that grants access to Fedwire and potentially ACH payment systems.
- On Thursday, House Financial Services Committee ranking Democrat Rep. Maxine Waters demanded answers from Kansas City Fed President Jeff Schmid regarding the recent approval of a master account for cryptocurrency exchange Kraken.
- The Federal Reserve Bank of Kansas City granted Kraken Financial, a Wyoming Special Purpose Depository Institution, a one-year pilot "limited purpose account" on March 4, 2026, making it the first crypto-native firm to secure such access.
- Citing a lack of transparency, Waters argued that access to "critical" financial infrastructure requires clarity, noting that "the announcement raises questions about the approval because neither statute nor the Federal Reserve Board's Account Access Guidelines refer to a 'limited purpose account' type."
- Setting an April 10 deadline, Waters requested specific details on which Fed services Kraken can access, what restrictions apply, and how the approval aligns with existing statutory frameworks.
- Fed Vice Chair for Supervision Michelle Bowman described the arrangement as a learning exercise, though banking groups expressed frustration that the approval ignored public comment periods and lacks transparency into risk mitigation.
14 Articles
14 Articles
Maxine Waters Seeks Clarity On Kansas City Fed's Approval Giving This Crypto Exchange Access To 'Critical' Financial Infrastructure
Rep. Maxine Waters (D-Calif.) sought further information on Thursday on the decision to grant cryptocurrency exchange Kraken access to Federal Reserve services. Waters Says Approval Lacks Transparency Waters, the leading Democrat on the House Committee on Financial Services, penned a letter to Jeff Schmid, President and CEO of the Federal Reserve Bank of Kansas City, requesting details about the bank’s recent approval of a “limited purpose accou…
Kraken Approval Exposes Tensions in U.S. Crypto Banking Policy
Kraken has achieved a major milestone by becoming the first cryptocurrency exchange approved for direct access to the Federal Reserve payment system. This limited-purpose master account allows Kraken to settle transactions without relying on intermediary banks. Consequently, the move represents a significant step toward mainstream crypto adoption. However, it has also raised questions among lawmakers about the fairness and consistency of regulat…
Why Kraken Got a Master Account While Banks Wait- Congresswoman Maxine Waters
A new clash is brewing between lawmakers and the Federal Reserve. At the centre of the debate is Kraken’s recent acquisition of a limited-purpose master account, granting it access to the Fed’s payment infrastructure. This approval has created doubts about the organization’s transparent operations and its legal adherence to established standards. Lawmakers, including Maxine Waters, The post Why Kraken Got a Master Account While Banks Wait- Congr…
US Lawmaker Wants Answers About Kraken’s Fed Master Account Approval – #CryptoUpdatesGNIT
US Representative Maxine Waters, the ranking Democrat on the House Financial Services Committee, is demanding answers from the Federal Reserve Bank of Kansas City over the approval of Kraken Financial’s limited-purpose master account. In a letter Thursday, Waters asked Kansas City Fed President Jeff Schmid to respond by April 10, outlining what Kraken’s approval means in practice; which Federal Reserve services it can access; the conditions or r…
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