The Democratic Party’s official social media account ignited a firestorm within the cryptocurrency industry this week after posting a ‘yikes’ message alongside a graphic mocking market losses. The post, which coincided with Bitcoin plunging 8% and over $2.6 billion in positions being liquidated in 24 hours, drew sharp rebukes from executives and policy advocates who accused the party of partisan insensitivity toward widespread investor pain. The backlash underscores the growing political risks for Democrats as they navigate digital asset policy ahead of midterm elections.
about Democrats Mock Crypto Crash, Face Backlash From Industry LeadersCustodia Bank
0 in Finance and 1 in Crypto last weekFed Reverses Crypto Banking Rules, Easing Access for Institutions
The U.S. Federal Reserve has reversed its 2023 guidance that restricted banks from engaging in cryptocurrency activities, marking a significant policy shift that creates a formal pathway for both insured and uninsured banks to pursue crypto-related services under Fed supervision. This move signals a regulatory reassessment as digital assets like Bitcoin and Ethereum increasingly intersect with traditional banking infrastructure, potentially lowering operational frictions and expanding institutional participation in digital asset markets.
about Fed Reverses Crypto Banking Rules, Easing Access for InstitutionsCustodia Bank Appeals Fed’s Master Account Denial in Court
Custodia Bank, a Wyoming-chartered institution focused on cryptocurrency, is intensifying its legal confrontation with the Federal Reserve. The bank has petitioned the entire Tenth Circuit Court of Appeals to rehear its case challenging the Fed’s denial of a master account—a critical piece of financial infrastructure that would allow it to process payments directly. This latest move contests a prior judicial panel’s decision and questions fundamental interpretations of federal banking law, placing state-chartered financial innovation squarely against federal regulatory authority.
about Custodia Bank Appeals Fed's Master Account Denial in CourtPrediction Markets Bet on Crypto-Friendly Fed Chair Under Trump
Prediction markets are signaling a strong likelihood that Kevin Hassett, a known crypto advocate, could become the next Federal Reserve chair if Donald Trump returns to the White House. Odds on platforms like Polymarket and Kalshi have surged above 66% in his favor. This comes as internal Fed reforms face pushback from veterans, adding another layer of uncertainty to the central bank’s future direction.
about Prediction Markets Bet on Crypto-Friendly Fed Chair Under TrumpNebraska Claims First Digital Asset Bank Charter, Wyoming Disputes
Nebraska has announced what it calls the nation’s first digital asset bank charter, but Wyoming officials were quick to correct the record. Governor Jim Pillen signed the charter for Telcoin Digital Asset Bank, enabling stablecoin issuance and fintech operations. However, Wyoming’s leadership revealed their state has been chartering digital asset banks since 2017, sparking a debate about who truly pioneered this financial frontier.
about Nebraska Claims First Digital Asset Bank Charter, Wyoming DisputesFed Wins Court Battle Over Crypto Bank Master Accounts
A federal appeals court has delivered a significant blow to the crypto banking sector by affirming the Federal Reserve’s authority to deny master accounts to digital asset-focused institutions. The ruling against Wyoming-based Custodia Bank reinforces the central bank’s cautious stance toward cryptocurrency integration into the traditional financial system, maintaining the Fed’s perfect record of zero master account approvals for crypto banks and underscoring the regulatory hurdles facing the industry.
about Fed Wins Court Battle Over Crypto Bank Master AccountsCourt Rejects Custodia Bank’s Fed Account Bid
A US appellate court has delivered another significant setback to Custodia Bank’s five-year quest for a Federal Reserve master account, affirming a lower court ruling that sided with the central bank against the crypto-friendly institution. The Tenth Circuit Court’s unanimous decision marks the latest chapter in a legal battle that began in 2020 and represents a major blow to the digital asset banking sector’s attempts to gain full access to the traditional financial system.
about Court Rejects Custodia Bank's Fed Account BidFed Proposes Direct Payment Access for Stablecoin Issuers
In a landmark policy shift, Federal Reserve Governor Christopher Waller has proposed granting stablecoin issuers and crypto firms direct access to the central bank’s payment infrastructure through a new ‘skinny’ master account. This revolutionary payment-only door would provide Fedwire and ACH connectivity while excluding traditional banking services, potentially transforming how digital dollar transactions are settled and positioning compliant U.S. stablecoins as central bank-backed instruments.
about Fed Proposes Direct Payment Access for Stablecoin IssuersTrump Taps SEC Crypto Chief for CFTC, Backed by Winklevoss
President Donald Trump has nominated Michael Selig, the SEC’s Crypto Task Force Chief Counsel, to lead the Commodity Futures Trading Commission, signaling unprecedented coordination between financial regulators on pro-crypto policies. The selection represents a major political victory for crypto billionaires Tyler and Cameron Winklevoss, who successfully lobbied against the previous nominee. Selig’s appointment comes at a critical juncture for the severely understaffed CFTC as it faces massive new responsibilities in regulating both cryptocurrency and emerging prediction markets.
about Trump Taps SEC Crypto Chief for CFTC, Backed by WinklevossU.S. Banks Launch Tokenized Deposit Network
Custodia Bank and Vantage Bank Texas have launched a live network enabling U.S. banks to issue tokenized deposits that can convert between insured deposits and compliant stablecoins. The platform represents a significant step toward integrating traditional banking with blockchain technology while maintaining regulatory protections. Final regulatory approval is pending before full-scale deployment.
about U.S. Banks Launch Tokenized Deposit NetworkCustodia Bank Launches Tokenized Deposit Solution for Banks
Custodia Bank and Vantage Bank have introduced a groundbreaking blockchain solution enabling traditional banks to tokenize customer deposits. This innovation allows financial institutions to leverage blockchain technology while maintaining deposit security, promising near-instant, low-cost transactions across participating banks and representing a significant bridge between traditional finance and digital assets.
about Custodia Bank Launches Tokenized Deposit Solution for BanksFed Proposes ‘Skinny’ Master Accounts for Crypto Banks
Federal Reserve Governor Christopher Waller has proposed a groundbreaking plan to offer limited ‘skinny’ master accounts to innovation-focused banks, potentially granting crypto institutions direct access to Fed payment systems for the first time. These streamlined accounts would provide faster access to critical financial infrastructure while excluding traditional banking privileges like interest payments and overdraft protection. The move represents a significant shift in the Federal Reserve’s approach to emerging financial technologies and could reshape America’s banking landscape for cryptocurrency companies.
about Fed Proposes 'Skinny' Master Accounts for Crypto Banks