S9 E1: Fintech Recap: The New FDIC Rule, Visa's Antitrust Fight, and Open Banking's Next Steps

The FDIC’s proposed rule for custodial deposit accounts with transactional features aims to establish a mandatory regulatory floor for record-keeping and reconciliation, a necessary response to systemic failures observed in recent banking-as-a-service crises. While this rule may increase operational costs and further constrain supply in the BaaS market, it addresses the critical need for accountability in non-bank financial partnerships. Simultaneously, the U.S. open banking landscape is shifting as the CFPB prepares to finalize Section 1033 rules, with the Financial Data Exchange emerging as the primary standard-setting organization despite lingering concerns over incumbent dominance. Furthermore, the Department of Justice’s antitrust lawsuit against Visa highlights ongoing tensions regarding debit network competition and interchange fees, underscoring the broader struggle to balance market innovation with the maintenance of the "trust halo" that underpins modern digital commerce.