Ripple (XRP) Seeks Federal Reserve Master Account in Landmark Banking Move

Ripple (XRP) continues its strategic expansion in the US financial sector with a bold new initiative. After submitting an application for a national bank charter - mirroring stablecoin leader Circle's recent action - the blockchain company has now pursued an even more significant development through its acquisition Standard Custody.

Fox Business reporter Eleanor Terrett revealed that Ripple has applied for a Federal Reserve master account, describing this as a potential game-changer for crypto industry access to payment infrastructure.

"A Fed master account provides direct access to the US payments system, representing a quantum leap beyond standard banking charters," Terrett explained. She compared the tiered access system: "One legal expert characterized it as Diamond-level (master account), Platinum (bank), Gold (trust companies), and Silver (money transmitter licenses)."

Historically, the Federal Reserve has denied such access to cryptocurrency firms. The ongoing Custodia Bank vs. Federal Reserve case may establish precedent, with a ruling expected imminently. Approval would allow Ripple to lodge its RLUSD stablecoin reserves directly with the central bank while gaining critical payment system access - marking a watershed moment for crypto banking integration.

Disclaimer: This content does not constitute investment advice.