The Custodia Bank sued the Central Bank in 2022 because of a delayed decision on their master account application. A judge ruled that the Federal Reserve is not required to provide the bank with access to its master account. Judge Scott Skavdahl stated that Federal Reserve Banks can grant master accounts, but Custodia did not receive approval for theirs. The bank argued that every depository institution under state law should be entitled to a master account, but the court dismissed the claim. Custodia accused the Fed of violating the Administrative Procedures Act, but the court rejected this claim as well. Custodia's application for a master account was filed with the Kansas City Fed in 2020 and was denied in January 2023. The bank is governed by Wyoming law as a special purpose depository institution.
**Custodia Bank Loses Bid for Federal Reserve Master Account**
by Giorgi Kostiuk
2 years ago
Other news
Senate Faces Urgent Deadline to Pass CLARITY Act
The US Senate has limited time to pass the CLARITY Act before recess, with significant implications for the crypto industry.
Cardano Price Faces Critical Support Level
Cardano's price is at risk of falling below a critical support level, which could lead to further losses.
Spot Bitcoin ETFs Face $3 Billion in Outflows Amid Bullish Social Media Sentiment
Spot Bitcoin ETFs have recorded 10 consecutive days of outflows, totaling nearly $3 billion in redemptions since May 15. This trend highlights a significant disconnect between the rising social media sentiment around Bitcoin and the actual investor behavior reflected in ETF data.
Crypto Market Sentiment Shows Extreme Fear Amid Bullish Social Media Activity
The Crypto Fear and Greed Index shows Extreme Fear at 23, contrasting with bullish social media sentiment.
Bitcoin Social Media Sentiment Hits Yearly High Amid ETF Outflows
Bitcoin social media sentiment has surged to a yearly high, with 223 positive comments for every negative one, despite ETF outflows.
Solana Market Faces Bearish Sentiment Amid Price Consolidation
Solana market shows bearish sentiment with price consolidation and established support and resistance levels.
Be the first to know about crypto news every day
Get crypto analysis, news and updates right to your inbox! Sign up here so you don’t miss a single newsletter