US President Donald Trump has issued an Executive Order (EO) mandating an overhaul of financial regulations to grant fintech and digital asset firms direct access to the US financial system, threatening decades of dominance by legacy banks.
Trump Orders Fintech Integration into US Financial System
20 May 2026 - 09:48 CEST
Opening the Payment Rails
The order, published on 19 May, covers major federal regulators including the SEC, CFTC, FDIC, OCC, CFPB, and NCUA.
They were directed to "update regulations to allow integration of digital assets and innovative technology into traditional financial services and payment systems" and to "remove overly burdensome and fragmented regulations" that benefit incumbent financial firms. Regulators have 90 days to identify barriers and 180 days to take remedial action.
The Federal Reserve, which recently saw the narrow Senate confirmation of Kevin Warsh as its next chair, faced a specific call to evaluate access to its payment accounts and services. This covers uninsured depository institutions, non-bank financial companies, and digital asset firms. It was also asked to clarify whether individual Reserve Banks can independently decide on such access, and to report back within 120 days.
Banks Push Back
The American Bankers Association, which represents the US's $25.3tn banking sector, urged regulators to "conduct their requested review in a way that allows for innovation but doesn't compromise the safe and sound financial system we have today." Blockchain intelligence firm TRM Labs called the order a "once in a generation" moment.
In a separate EO titled "Restoring Integrity to America's Financial System," the Trump administration outlined measures targeting illicit finances, including Mexico-based cartels and Chinese money laundering networks accused of laundering $312bn through US-based accounts.
The Secretary of the Treasury was directed to issue a formal advisory within 60 days on risks posed by undocumented individuals to the financial system.
