Ripple supports the idea of a “skinny” Federal Reserve payments account for non-banks, addressing banks’ concerns over financial stability and competition risks. The Fed has been wary of allowing lightly-regulated non-banks to access its plumbing. Fed Governor Waller is exploring a “skinny” master account, potentially allowing Ripple to quickly redeem reserves for its stablecoin RLUSD. Despite limitations, this account could streamline transactions. It remains to be seen how banks will respond to this idea.

Read more at Yahoo Finance: Ripple says ‘skinny’ Fed master account is attractive despite limitations