Kraken just got rare Federal Reserve access in a move crypto firms have chased for years

tldr; Kraken has achieved a significant milestone by securing a Federal Reserve master account for its Wyoming-chartered bank, Kraken Financial. This rare access allows Kraken to settle US dollar payments directly over Federal Reserve rails, bypassing traditional sponsor banks. The approval, granted as a Tier 3 entity for an initial one-year term, represents a potential shift in how crypto firms interact with the US payments system. This development could enhance payment efficiency for Kraken and serve as a policy experiment for broader access to central bank payment systems for regulated institutions.

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