Blockchain Association Joins Supreme Court Battle Over Fed Access for Crypto Banks

The Blockchain Association has filed an amicus brief in support of Custodia Bank's petition to the Supreme Court, urging the court to review whether regional Federal Reserve banks can deny master accounts to state-chartered institutions that meet all statutory requirements.

Custodia, a Wyoming-chartered special purpose depository institution founded by Caitlin Long, applied for a master account with the Federal Reserve Bank of Kansas City in October 2020. After a 19-month delay, the bank sued in June 2022 and was formally rejected by the Fed in January 2023.

The Blockchain Association argues that lower court rulings create a dangerous precedent, allowing regional Fed banks to exclude state-chartered institutions at will. This could lead to entire lawful industries being cut off from the nation's payment rails through administrative discretion rather than legislative action.