Bipartisan PACE Act looks to open Fed payment rails to nonbanks, draws crypto support

California Reps. Democrat Sam Liccardo and Republican Young Kim introduced a bill that would allow certain providers access to the Federal Reserve payment services, garnering support from crypto industry groups.

On Tuesday, the pair introduced the 23-page bill, called the Payments Access and Consumer Efficiency Act, or PACE. The bill aims to make payments faster and cheaper — as easy as “sending a text or streaming a TV show,” according to a fact sheet about the bill. 

“We can reduce the burden of bank fees borne by too many American families by enabling broader access to innovative payment systems that deliver cheaper, faster, more reliable service,” said Rep. Liccardo in a statement. “I’m proud to partner with Young Kim on this bipartisan PACE Act to modernize our payment system for the benefit of millions of cash-strapped Americans.” 

The bill “creates an optional federal supervisory framework for nonbank payment service providers (companies like money transmitters that hold 40 state licenses) administered by the Office of the Comptroller of the Currency (OCC).” The bill would streamline federal registration for “qualified payment companies” and require providers to maintain 1:1 reserves, meet risk and recordkeeping standards, among other requirements. 

If passed into law, those providers would be able to access the Fedwire settlement system, instant payment services FedNow and payment-process service FedACH, according to the fact sheet. 

PACE Act commentary

The Crypto Council of Innovation said the bill would bolster competition. 

“CCI looks forward to working with Congress to advance responsible payments innovation and ensure that Americans benefit from secure and efficient payments options,” said CCI CEO Ji Hun Kim in a statement. 

Blockchain Association CEO Summer Mersinger called the bill an “important step forward.”

“For too long, digital asset payment companies have been locked out of the same financial infrastructure that their competitors have access to,” Mersinger said in the statement. “The PACE Act allows qualified nonbank providers to obtain direct access to Federal Reserve payment rails, enabling faster, less expensive, and more competitive payment services for American consumers and businesses,” she added.

© 2026 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.