U.S. Coalition Fights Banks’ Fees to Protect Open Banking Rule

U.S. Crypto and Fintech Coalition Urges CFPB to Protect Open Banking Rule 1033 Against Bank-Imposed Data Access Fees

  • A coalition of U.S. crypto, fintech, and retail groups supports open banking protections under Rule 1033.
  • The groups warn that big banks are pushing to charge fees for data access, which could limit connections to digital wallets and stablecoins.
  • Rule 1033 would allow consumers to share their financial data freely with third-party services.
  • The coalition argues that data access fees would harm competition and innovation in the financial sector.
  • They urge the Consumer Financial Protection Bureau (CFPB) to finalize Rule 1033 without concessions to large banks.

A coalition consisting of U.S. crypto, fintech, and retail organizations has appealed to the Consumer Financial Protection Bureau (CFPB) to protect open banking rules in the upcoming Rule 1033. The groups warn that efforts by major banks to impose fees for accessing customer financial data could disrupt connections between the banking system and digital services such as crypto exchanges, stablecoin wallets, and fintech platforms.

- Advertisement -

The coalition includes the Blockchain Association, the Crypto Council for Innovation, the National Association of Convenience Stores, and the National Retail Federation. They emphasize that Rule 1033 would grant consumers the right to share their financial information without charge, enabling seamless integration with third-party financial services.

In a joint letter, the group states that big banks are lobbying to limit who qualifies as a consumer representative and to introduce charges for data access. They argue that such changes would strengthen established banks, reduce competition, and weaken the links between digital platforms and the banking system.

“A strong open banking rule is crucial to a competitive, flourishing, and innovative financial services ecosystem,” the letter notes. The coalition also highlights that the costs banks associate with open banking—such as cloud storage and technology infrastructure—are normal expenses faced by modern financial firms globally.

The coalition warns that rolling back Rule 1033 could cause the U.S. to fall behind other countries like the U.K., Singapore, and Brazil, where open banking systems are already in place. They urge the CFPB to finalize the rule without yielding to what they call attempts by the largest banks to tax access to Americans’ own financial data.

- Advertisement -

✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -

Latest News

Bitcoin ETFs Face Fifth Week of Investor Outflows

U.S. spot Bitcoin ETFs have experienced five straight weeks of net outflows, with roughly...

Anthropic’s AI Scans Code for Security Flaws

Anthropic has launched Claude Code Security, a new AI feature for scanning codebases and...

Ripple’s XRP Now Partnered With Over 140 Banks Worldwide

Ripple's XRP bank partnerships now cover more than 140 financial institutions worldwide, including major...

Crypto Exchanges Bypass Russia Sanctions via Obfuscation

Russian-facing crypto exchanges continue to enable sanctions evasion by providing cross-border payment channels shielded...

Coinbase to Share USDC Reserve Revenue With Circle

Coinbase receives significant revenue from USDC reserves, including 50% of Circle’s “residual payment base.”SkyBridge...

Must Read

The 10 Best Crypto Podcasts You Can’t Miss

Table of ContentsBest Cryptocurrency Podcasts To Add To Your Playing List1. The Money Movement2. The Crypto Conversation3. The Pomp Podcast4. What Bitcoin Did5. The...
🔥 #AD Get 20% OFF any new 12 month hosting plan from Hostinger. Click here!