On 21 April 2026, US Representatives Young Kim (R-CA) and Sam Liccardo (D-CA) introduced the Payments Access and Consumer Efficiency (PACE) Act. It is a legislation that could fundamentally reshape how cryptocurrency companies access the Federal Reserve's payment infrastructure.
So, how will it impact Ripple and Circle? The bipartisan bill would enable qualified crypto and fintech providers to register with federal regulators for direct access to core Fed systems like Fedwire, FedNow, and ACH. It will eliminate the need for traditional banking intermediaries.
"Whether it’s splitting a bill, paying rent, or waiting on a paycheck to clear, Americans are often stuck dealing with delays and increased fees due to outdated payment infrastructure," said Rep. Young Kim.
“Hardworking Americans shouldn’t have to wait days to access their own money or pay extra just to move it. My PACE Act modernizes our system to deliver faster payments, lower costs, and helps families and small businesses keep more of their hard-earned money.”
The move addresses longstanding frustrations within the crypto industry over exclusion from payment rails that banks access freely, and could significantly accelerate adoption of blockchain-based payment solutions by reducing costs and settlement times.
Onyxcoin (XCN) Price Surges 64% Following South Korea's Upbit Listing | Crypto Watch Desk
How DOES the PACE Act Work?
The legislation establishes a federal registration framework overseen by the Office of the Comptroller of the Currency (OCC). Companies seeking to become "covered providers" must meet strict eligibility requirements: holding either a state banking charter or at least 40 active money transmitter licenses across states.
Qualified firms must also demonstrate robust risk management, maintain 1:1 reserves backing customer funds, segregate those funds from company assets, and ensure consumers receive priority if the company fails. The bill includes defined application review timelines, replacing the current patchwork of state-by-state supervision with streamlined federal oversight.
"We can reduce the burden of bank fees by enabling broader access to innovative payment systems that deliver cheaper, faster, and more reliable service," Rep. Liccardo said in announcing the legislation.
Why Is Crypto Down Today? BTC USD Hovers Around $78K With Fear-Driven Caution | Crypto Watch Desk
Major Crypto Firms Positioned to Benefit: Ripple and circle first in line
Ripple, the payments company behind the XRP Ledger and RippleNet cross-border payment network, stands among the primary beneficiaries. The company is currently pursuing a national trust bank charter with the OCC to obtain a Federal Reserve master account. Ripple's Treasury ClearConnect Gateway already integrates with FedNow, and the company is preparing to launch its RLUSD stablecoin, positioning it to capitalize quickly if the bill becomes law.
Circle, issuer of the $30 billion USDC stablecoin, faces similar access barriers and would gain comparable advantages. Currently, Kraken is the only cryptocurrency firm with direct Fed master account access, highlighting how exclusive these arrangements remain.
Direct access to Fed payment rails would eliminate intermediary banks from transactions, reducing costs and accelerating settlement times from days to near-instantaneous for both domestic and international transfers. For Ripple specifically, this could dramatically enhance XRP's utility in institutional payment flows and accelerate RLUSD's integration into U.S. financial infrastructure.
Support From Blockchain Association, Crypto Council for Innovation
"CCI supports Rep. Kim and Rep. Liccardo’s efforts to modernize the payment landscape through the PACE Act, which would allow businesses with 40 or more money transmitter licenses to comply with a uniform federal regulatory framework under OCC supervision," said Ji Hun Kim, CEO of the Crypto Council for Innovation (CCI).
The bill has garnered immediate endorsements from major crypto industry organizations including the Blockchain Association, Financial Technology Association, The Digital Chamber, and Crypto Council for Innovation.
Summer Mersinger, CEO of the Blockchain Association, stated that the PACE Act "allows qualified nonbank providers to obtain direct access to Federal Reserve payment rails, enabling faster, less expensive, and more competitive payment services." She noted that crypto payment companies have long been excluded from the infrastructure that their traditional competitors routinely access.