Brad Garlinghouse Slams Wall Street Banking Lobbyists for Blocking Crypto Firms from US Banking System
Wall Street's banking lobbyists face fiery criticism from Ripple CEO Brad Garlinghouse over their aggressive campaign to keep cryptocurrency firms locked out of the US banking infrastructure.
The Banking Barrier
Garlinghouse calls out what he describes as systematic opposition from traditional financial gatekeepers—lobbyists spending millions to maintain their monopoly while innovation waits at the door. These established players deploy classic fear tactics, warning about risks they've historically failed to manage themselves.
Digital Finance Revolution
Crypto companies continue pushing for equal access to banking services that traditional institutions take for granted. The standoff highlights the growing tension between legacy financial systems and blockchain-based solutions that promise faster, cheaper transactions.
Wall Street's resistance feels particularly ironic given their own history of bailouts and scandals—apparently protecting the system means keeping competition out. The financial establishment would rather fight innovation than adapt to it.
Crypto companies line up for OCC licences and Mastercards
Crypto companies have encountered challenges in obtaining access from the Fed, or even in understanding how it could be granted.
Ripple recently applied for a Federal Reserve master account through its wholly owned subsidiary, Standard Custody & Trust Company, to hold RLUSD reserves directly with the Fed. Around the same time, the company applied for a national banking license from the US Office of the Comptroller of the Currency (OCC).
Additionally, Circle Internet Group has filed for a national trust bank license, which WOULD allow it to act as a custodian for its USDC stablecoin reserves and provide digital asset custody services to institutional clients.
Anchorage Digital Bank, which has held a national trust bank charter since 2021, formally filed for a Fed master account in late August 2025. A master account would enable Anchorage to settle transactions directly with the Fed, rather than routing them through intermediary banks.
However, no public decision has been made approving any of these recent OCC charter applications or master account requests for these companies in 2025. The applications are still under review.
Legally, crypto firms can apply for both OCC national trust bank charters and Federal Reserve master accounts, but approval is not guaranteed and remains highly discretionary. The US law does not explicitly bar digital asset companies from accessing the banking system.
Instead, the Federal Reserve Act and OCC regulations allow any eligible depository institution to apply.
However, regulators have been cautious, arguing that most crypto firms pose heightened risks related to liquidity, custody, and compliance. The OCC has slowed or denied several applications since 2022, and the Fed has defended its right to limit master account access to institutions it deems SAFE and compliant with federal oversight.
Garlinghouse says RLUSD has made things easier
Ripple, which has recently delved into the field of stablecoin issuers, said banks are finally taking them more seriously after years of difficulty, in which the resistance from US regulators made the financial firms reluctant to engage.
“I had meetings yesterday in New York City, where banks that would not have talked to us three years ago are now leaning in and saying, how could we partner around this?” he said.
He said granting crypto firms, such as Ripple and Circle, master accounts will contribute to greater stability, enhanced regulatory oversight, and risk mitigation. “It’s been a little disappointing to see some of the traditional banks start to lobby against things like that,” Garlinghouse added.
Meanwhile, RLUSD has reached a new milestone after surpassing the $800 million mark in its market cap. Trading volumes in the past 24 hours have jumped by 34% for this stablecoin, and currently account for 18% of its market cap.
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