Trump Orders Fed Review of Payment Access for Fintech, Crypto

President Trump issued an executive order on May 19 directing federal financial regulators, including the Federal Reserve, to review rules and practices that limit fintech and digital asset firms’ access to U.S. payment systems and to report findings within 90 days.

The order requires agencies to examine rules, guidance, supervisory practices, orders, no-action letters and application processes that affect nonbank companies using technology to offer or support financial products and services. Covered activities include payment processing, lending, digital banking, securities and commodities market activity, blockchain-based services and other digital-asset services.

Agencies must identify barriers that limit partnerships between fintech firms and banks, credit unions, broker-dealers, investment advisers and futures commission merchants. The order asks regulators to review how charter applications, deposit or share insurance requests, licensing processes and other federal authorizations are handled for eligible fintech firms.

The Federal Reserve is asked to answer a detailed set of questions about payment-system access. The Fed must evaluate whether uninsured depository institutions and nonbank financial companies can access Reserve Bank payment accounts and payment services, explicitly including firms involved in digital assets, novel financial activities and instant payment networks.

The order asks the Fed to assess its legal authority, whether access can be expanded, legal impediments, appropriate risk controls and how the 12 regional Reserve Banks should be involved. It also asks the Fed to consider whether regional Reserve Banks may act independently when granting or denying access applications.

When existing law permits access, the order asks the Federal Reserve to establish transparent application procedures and to issue determinations on complete applications within 90 days. The order says any implementation must be consistent with applicable law, available appropriations and existing agency authority.

The directive does not itself change federal law or create new authorities. Agencies are to complete reviews and recommend updates to regulations, supervisory practices and application procedures within the 90-day window.

Industry reaction was swift. Custodia Bank founder and CEO Caitlin Long wrote on X: “Thank you, @POTUS, for recognizing that there is a continuing problem at the Federal Reserve with blocking legally-eligible institutions from access to the US payment system, which is a public good.”

The order frames the reviews as measures to allow digital assets and new financial technology to integrate with traditional payment systems while identifying regulatory fragmentation or burdens that may limit competition. Agencies must submit findings and recommended changes to the White House within the required timeframe.