🚨NEWS: Wyoming crypto bank @custodiabank has officially filed a certiorari petition with the Supreme Court, asking it to review whether regional Federal Reserve Banks have the discretion to deny eligible state-chartered banks access to master accounts. Custodia has hired a team of legal experts, including white shoe law firm Davis Polk, to argue that the Federal Reserve Bank of Kansas City’s decision to deny Custodia a master account “works a fundamental shift in the balance between state and federal authority over banking,” raises significant constitutional questions about the appointment and powers of Federal Reserve Bank presidents, and threatens the future viability of dozens of banks with innovative business models. It comes after both a Wyoming district court and a divided Tenth Circuit panel sided with the Fed’s interpretation of the Monetary Control Act, finding that the Federal Reserve has broad discretion to deny Custodia access to a master account. As cited in the petition, the Kansas City Fed said its 2023 decision was driven by concerns over Custodia’s crypto-centric business model. Custodia CEO @CaitlinLong_ could not immediately be reached for comment.(Eleanor Terrett)