Levin Quoted in Reuters Article on Federal Reserve Approval of Kraken's Master Account

Richard B. Levin, the Chair of Taft's FinTech Practice, was recently quoted in a Reuters article titled "Crypto giant Kraken's Fed payment account sparks concerns about risk." The article recognizes Kraken's approval as a milestone that could reshape the financial system and discusses whether crypto firms should be allowed direct access to the Federal Reserve's payment system. The Federal Reserve granted Kraken Financial a limited-purpose account for one year, a decision that has sparked concerns among banks and top Democrats on the House Financial Services Committee.

In a blog post, Kraken stated that through its federal master account, "Kraken Financial can link directly to core U.S. payment systems such ⁠as Fedwire, ⁠avoiding intermediary banks and enabling faster, more efficient fiat transfers for institutional clients, while reducing operational complexity and costs." Levin noted the concerns raised by some critics of the decision that other FinTech companies "may have less of a track record, less rigorous compliance and operations, even if they have limited models, [such] that it could create a degree of systemic risk."

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Levin represents early-stage and publicly traded companies in the FinTech space, including investment banks, broker-dealers, investment advisers, peer- to-peer lending platforms, digital currency trading platforms, alternative trading systems (ATSs), exchanges, and custodians. His current and past clients include leading national financial institutions, multinational financial services holding companies, leading firms in the FinTech space, and institutions engaged in global investment banking, investment management, securities, and other financial services with institutional clients. Levin has been recognized by Chambers and Partners as a leading blockchain and cryptocurrency lawyer since 2018, known for his deep regulatory expertise, strong relationships with regulators, and ability to guide clients through complex FinTech issues, such as broker-dealer licensing and trading systems.