Federal Reserve Governor Waller: The Fed will launch a "simplified master account" this year.

PANews reported on February 10th that, according to The Block, Federal Reserve Governor Christopher Waller stated that the Fed plans to unveil its "simplified master account" proposal by the end of the year. Waller made these remarks at an event hosted by the Center for Global Interdependence on Monday, expressing his hope to implement this simplified version of the Fed's master account by the end of the year.

Traditional "master accounts" allow institutions direct access to the Federal Reserve's payment system and provide the most direct channel for the supply of US dollars. The proposed "simplified version," however, would not offer interest on the balance and would be subject to restrictions such as the inability to access loans through the discount window. The public comment period ended last Friday, revealing a disagreement between crypto industry participants and community banks regarding whether to allow non-traditional financial companies access to parts of the US payment system. Waller noted, "We must properly address these issues, but if things go smoothly, I hope to complete this work by the end of the year if possible."