Blockchain payment company Ripple, expressed support for the concept of a “skinny” Federal Reserve (Fed) payments account tailored for non-banking entities through its chief legal officer, Stuart Alderoty. This account could reportedly address concerns from traditional banks about financial stability and competitive risks.

Ripple Seeks Fed Master Account

In an interview with Reuters, Alderoty described the idea as “attractive” and suggested it could provide reassurance to conventional banks wary of increased competition from lightly-regulated non-banks.

Ripple had previously applied for a Fed master account back in July of this year, which would enable the company to connect directly to the US central bank’s payment infrastructure, circumventing the need for intermediaries.

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