ICBA Demands Kansas City Fed Reassess Kraken's Limited-Purpose Fed Account Before Renewal

According to Odaily, the Independent Community Bankers of America (ICBA) sent a letter to the Kansas City Federal Reserve on June 22, demanding reassessment of Kraken Financial's one-year limited-purpose Fed account before its expiration and requesting further restrictions or termination. ICBA cited concerns that the account inadequately addresses anti-money laundering and fraud risks related to crypto entities. The organization cited FBI data showing approximately 13,500 complaints related to crypto ATMs in 2025, with losses totaling about $389 million. Kraken obtained the Fed account in March 2026, granting access to the Federal Reserve's Fedwire payments system. The Kansas City Fed retains discretionary authority over the account's conditions and renewal; termination procedures have not been initiated.
Disclaimer: The information on this page may come from third-party sources and is for reference only. It does not represent the views or opinions of Gate and does not constitute any financial, investment, or legal advice. Virtual asset trading involves high risk. Please do not rely solely on the information on this page when making decisions. For details, see the Disclaimer.
Comment
0/400
No comments