According to Odaily Planet Daily, digital asset bank Custodia appealed after a judge in a Wyoming court in the United States ruled that the bank had no right to a master account in the Federal Reserve System. Custodia has been trying to obtain this authority for many years, but Judge Scott Skavdal said in his ruling in March that the Federal Reserve Bank has the discretion to decide whether to grant a master account.
Custodia’s lawyers filed a notice of appeal in U.S. District Court for the District of Wyoming on Friday, marking the latest development in a years-long dispute. Custodia founder Caitlin Long applied for a master account with the Federal Reserve Bank of Kansas City in 2020 but was rejected. The bank then sued the Federal Reserve Board and the Federal Reserve Bank of Kansas City.
Custodia is a special purpose depository institution regulated under Wyoming law, and while it can receive deposits and provide services such as custody, it cannot lend “customer legal deposits” and must retain 100% of those deposits.
