The Federal Reserve withdrew its 2023 policy statement that effectively barred banks from crypto activities and denied Custodia Bank’s master account application. The move comes as Wyoming-chartered Custodia pursues a full-court appeal of its master account denial, while regulatory agencies expose widespread debanking practices that systematically excluded crypto firms from traditional banking services between 2020 and 2023. Vice Chair for Supervision Michelle Bowman said the policy shift creates pathwa ...

After losing a key court battle in its bid to force the Federal Reserve to grant it a coveted master account, crypto bank Custodia is now urging a federal appeals court to revisit the ruling—via an extraordinary, rarely granted procedure. Custodia has asked the U.S. Court of Appeals for the 10th Circuit, based in Denver, to rehear its case “en banc”—meaning all 19 judges on the court would review the case, as opposed to the panel of three judges that ruled 2-1 against Custodia in October. A rehearing en ba ...