Wyoming’s attorney general is looking to get involved in custodiabank’s suit against the Fed partly to defend against “perceived inadequacies in Wyoming’s laws and regulations” for state-chartered banks. cheyenneligon reports
Wyoming Attorney General Bridget Hillwith the U.S. District Court in Wyoming asking for permission to intervene in Custodia Bank’s lawsuit against the Federal Reserve Board and the Kansas City Fed for delaying and ultimately denying the crypto-friendly bank’s application for a master account and membership with the Fed.
But the battle between Custodia and the Fed is not just about crypto – it’s also about the dual banking system in the U.S., which allows banks to charter under either federal or state law. “The Custodia Master Account Summary Analysis the Kansas City Fed provided Custodia makes it clear that its view of perceived inadequacies in Wyoming’s laws and regulations for SPDIs is partially responsible for its denial,” the report said.
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