Analysis: Ripple's Application for a Federal Reserve Master Account Is More Significant Than Applying for a National Bank Charter

BlockBeats News, July 3rd, crypto journalist Eleanor Terrett commented on "Ripple's Submission of National Bank Charter Application to the Office of the Comptroller of the Currency (OCC)," stating, "In addition to this application, Ripple also applied for a Federal Reserve master account through its acquired trust company, Standard Custody, which is more significant in terms of access than obtaining an OCC license. Hierarchically, the master account is at the diamond level, a bank charter is at the platinum level, a trust company is at the gold level, and a money transmission license is at the silver level."

"Historically, the Federal Reserve has always resisted allowing cryptocurrency companies direct access to the payment system, although critics believe this could reduce risk. Currently, the Federal Reserve is defending this position in the Custodia Bank lawsuit, which involves the authorization of depository institutions to obtain master account access, and a judgment is expected to be delivered at any time."