TechFlow news, December 16 — According to Eleanor Terrett, Wyoming-based crypto bank Custodia Bank has filed a petition for en banc review with the Tenth Circuit Court, requesting the full panel of judges to reconsider the October ruling by a three-judge panel that supported the Federal Reserve's rejection of its master account application.
In its petition, Custodia Bank argues that the original decision misinterpreted the Monetary Control Act, which it claims should grant all qualifying banks the right to a master account. The bank also contends that the Federal Reserve's action not only undermines state banking regulatory authority but raises serious constitutional concerns.
Custodia Bank had previously waited 19 months for the Federal Reserve’s approval. Critics have accused the Fed of lacking transparency and impeding innovation in crypto finance.
