Expert Claims Ripple Is Next to Secure Fed Master Account After Kraken Win—Here’s Why

Kraken just cracked the Fed's vault—now all eyes are on Ripple.

Why Ripple's Next in Line

Insiders point to Ripple's existing regulatory groundwork and its institutional-grade payment rails. The company's been threading the needle with regulators for years—building the compliance muscle that traditional finance respects. Kraken's approval didn't just open a door; it laid down a blueprint.

The Master Account Game-Changer

Securing a Federal Reserve master account bypasses the traditional banking middleman. It lets a company settle transactions directly on the Fed's balance sheet—cutting settlement times from days to seconds and slashing costs. For a payments-focused player like Ripple, it's not an upgrade; it's a total system override.

The Regulatory Gauntlet

Don't expect a red carpet. The Fed's scrutiny is brutal—they vet for operational resilience, anti-money laundering safeguards, and overall risk to the financial system. Kraken's win proves a crypto-native entity can pass the test, but it's a test designed to break you. One cynical finance veteran quipped, 'The Fed moves slower than a wire transfer on a holiday weekend—until it doesn't.'

What a Win Would Unleash

Approval would supercharge RippleNet, transforming it from a fast alternative into a foundational piece of financial infrastructure. It blurs the line between crypto agility and central bank finality. The race isn't just for legitimacy anymore; it's for a seat at the core of how money moves globally.

The dominoes are falling. Kraken's victory rewired the possible. Now, the pressure's on the Fed—and the entire market is watching to see which domino falls next.

Crypto Enters Fed’s Core System

The announcement signals a structural shift in how crypto-native institutions interact with the US banking system. With a master account, Kraken Financial can connect directly to the Fed’s payment rails rather than relying on intermediary banks to process transactions. Arjun Sethi, Co-CEO of Payward and Kraken, said: 

This milestone marks the convergence of crypto infrastructure and sovereign financial rails. With a Federal Reserve master account, we can operate not as a peripheral participant in the US banking system, but as a directly connected financial institution.

The decision immediately sparked discussion about which crypto firms might follow. Market expert Paul Barron argued on social media platform X that Kraken’s approval has effectively “bridged a gap” between crypto companies and the traditional banking establishment. 

By securing a Federal Reserve master account, Barron noted, Kraken is no longer operating on the outskirts of the system but instead sits on the same Fedwire infrastructure used by major financial institutions such as JPMorgan and Goldman Sachs. “This is BIG!” he wrote.

Barron went further, suggesting that Ripple could be next in line. He pointed to Ripple’s National Trust Bank charter, granted in December 2025, as a foundational step toward eventual Federal Reserve access. 

Final Step For Ripple’s RLUSD Expansion

In Barron’s view, direct access to a master account would be the final component needed for Ripple’s dollar-pegged stablecoin, RLUSD, to settle transactions at full banking scale. 

Barron also referenced growing legislative momentum around the CLARITY Act, arguing that regulatory developments in Washington may be increasing pressure on the Federal Reserve to integrate qualified crypto institutions more fully into the financial system. 

Ripple executives have previously acknowledged the strategic value of direct Federal Reserve access. In November 2025, Stuart Alderoty, Ripple’s CLO, described the concept as “an attractive idea” in an interview with Reuters.

Yet, Ripple is not alone in seeking this level of integration. Other crypto-focused institutions, including federally chartered Anchorage Digital, have also applied for Federal Reserve master accounts but have not yet received approval.

As of this writing, XRP was trading at $1.45, up 6% amid a wider crypto market recovery that began early on Wednesday with Bitcoin’s (BTC) lead. 

Featured image from OpenArt, chart from TradingView.com