The post Crypto, fintech Groups Urge CFPB to Defend Open Banking Rule appeared on BitcoinEthereumNews.com.

A coalition of fintech, crypto and retail industry trade groups is urging the US Consumer Financial Protection Bureau (CFPB) to adopt a robust open banking rule that safeguards consumers’ control over their financial data. The letter shared with Cointelegraph was signed by leading crypto advocacy groups — including the Blockchain Association and the Crypto Council for Innovation — alongside fintech and industry organizations such as the Financial Technology Association, American Fintech Council and others representing retailers and small businesses. The letter responds to the CFPB’s review of the Personal Financial Data Rights Rule under Section 1033 of the Dodd-Frank Act, which will define how consumers share their financial data with third-party services. Joint trades comment letter. Source: Finance Technology Association The coalition said it supports clear consumer data rights and urged the CFPB to finalize an open banking rule that affirms Americans own their financial data, not big banks. The groups said consumers should be free to share that data with any authorized third party, not just fiduciaries. The group also pressed the CFPB to preserve the current ban on data access fees, saying the rule must uphold a free and competitive market and that the prohibition is already clearly established in law. Open banking was first proposed in the US during the administration of former President Joe Biden in 2022 and finalized on Oct. 22, 2024.   The framework allows consumers to securely share financial data with third-party apps through APIs (application programming interfaces), forming a critical bridge between traditional finance and sectors such as decentralized finance (DeFi) platforms, crypto on-ramps, and digital banking tools. The letter claims that open banking is relied upon by “over 100 million Americans” to access tools like investment platforms, crypto wallets, and digital payment apps to manage their finances and run businesses.  “Yet these…

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Filed under: News - @ October 22, 2025 12:24 am