Federal Reserve Proposes Limited Payment Accounts for Non-Bank Firms

The Federal Reserve has taken a significant step towards opening up its payment system to non-bank financial firms, including crypto and fintech companies. The proposal, released on May 20, 2026, aims to establish limited payment accounts for eligible firms that hold or are actively securing state-level or OCC national trust bank charters.

The accounts will provide direct connectivity to key payment infrastructure, such as Fedwire Funds and FedNow, which handle large-value and real-time wholesale settlement respectively. However, access to credit, interest, and overdrafts is limited, and account holders are locked out of the retail payment layer.

The proposal has been met with anticipation from firms that have long-standing applications pending, including Ripple, Anchorage Digital, and Wise. However, a 60-day comment period has been opened, which may lead to changes in the final rule, potentially expanding eligibility or access to more services.