U.S. Crypto Coalition Warns Against Bank Data Fees Impacting Stablecoins, Wallets

Executive Summary

A coalition comprising prominent entities from the crypto, fintech, and retail sectors, including the Blockchain Association, Crypto Council for Innovation, National Association of Convenience Stores, and National Retail Federation, is actively lobbying the Consumer Financial Protection Bureau (CFPB). The coalition urges the CFPB to prevent large financial institutions from imposing fees for consumer data access, a practice they contend would severely undermine the principles of open banking. This move, they argue, could disconnect stablecoins and crypto wallets from the U.S. financial system, hindering innovation and potentially pushing digital asset development to other jurisdictions. The core of this advocacy revolves around ensuring the integrity and functionality of the proposed CFPB Rule 1033, which is designed to empower consumers with control over their financial data.

The Open Banking Debate: Rule 1033 and Data Access

CFPB Rule 1033, finalized on October 22, 2024, is currently under review, aiming to establish consumer rights regarding personal financial data. The rule mandates that financial institutions share consumer data with authorized third parties without charge, a framework seen as crucial for bridging traditional finance with decentralized finance (DeFi) platforms and digital assets. The aforementioned coalition views robust open banking rules as vital for innovation, market competitiveness, and the seamless integration of digital assets into the broader financial landscape. They strongly oppose any attempts by traditional banks to introduce data access fees or narrow the definition of "consumer representatives," which they believe would undermine the rule's intent and harm the competitive environment.

The coalition asserts that proposed bank charges for data access are not permitted under current law and would directly contradict the pro-innovation consensus the Administration aims to build. Such fees, they warn, would effectively "choke off access" to consumer and business finances, thereby "killing competition and crippling American innovation." They emphasize that consumer data ownership is a fundamental principle, noting that "Account access and data belong to the customer."

Strategic Implications for Digital Assets

The potential imposition of data access fees carries significant strategic implications for the digital asset ecosystem in the United States. The coalition warns that severing the connection between the banking system and the nascent digital asset ecosystem would critically impair America's ability to lead in the responsible development of digital assets. They argue that without "safe, reliable on-ramps" connecting traditional finance to the new ecosystem, innovation will be driven offshore, diminishing U.S. influence in a globally competitive sector. The functionality and adoption of stablecoins and crypto wallets, which heavily rely on seamless data access, would be severely limited, potentially leading to a "two-tiered financial system" where traditional banks maintain undue control over data access.

Broader Market and Innovation Context

Beyond digital assets, the coalition highlights the broader market and innovation consequences. They stress that robust open banking rules are essential for fostering a "competitive and innovative financial services ecosystem." Countering claims from some banks regarding increased operational costs due to open banking, the coalition argues that expenses such as cloud storage and technological infrastructure are standard operational costs for modern financial institutions globally. They caution that weakening Rule 1033 would cause the U.S. to lag behind other major economies, including the UK, Singapore, and Brazil, which have already implemented established open banking standards. The groups underscore that many financial innovations utilized by Americans over the past decade emerged from the anticipation of a move toward an open banking system in the U.S., positioning the current moment as a "defining" one for "financial freedom" and continued U.S. leadership in digital assets, artificial intelligence, and payments innovation.