This is Queen Street Analytics' weekly digest of regulatory developments, legislative discussions and other government-related news for professionals in the financial industry, banking, credit unions, insurance, payment processing, fintech, credit card issuing, asset management, venture capital, private equity, and crypto-currencies. Once a week, we break down the most important updates in this space in under five minutes.

Want to track other GR news in adjacent industries? Don’t miss this week’s updates in ICT & Cybersecurity. Also consider subscribing to our Finance - Ottawa edition covering critical GR news north of the border.

Dates: 2026-02-22 to 2026-02-28

📋 In This Week's Newsletter

• 🏛️ This Week's Congressional Calendar
• 🇺🇸 Federal Government News
• 📜 Legislative Updates
• 📚 What We're Reading This Week

This Week's Congressional Calendar

• Senate Judiciary Committee Business Meeting: Criminal Offenses Involving ATMs: The Senate Judiciary Committee is scheduled for a business meeting on March 5, 2026, to consider S.3798, which would establish new federal criminal offenses related to ATM violations regardless of location. The committee will also review multiple judicial and U.S. Marshal nominations.

Federal Government News

Federal Reserve Proposes Rule Barring Supervisory Use of Reputation Risk

The Federal Reserve Board has released a proposed rule to formalize the removal of 'reputation risk' from its supervision programs, following its June 2025 policy change. The proposed regulation would prohibit the Board from encouraging or compelling supervised banking organizations to deny or condition financial services based solely on constitutionally protected political or religious activities, affiliations, speech, or conduct, or on lawful yet politically disfavored activities perceived as reputation risks. The rule would apply across bank holding companies, savings and loan holding companies, state member banks, foreign banking organizations, and their subsidiaries. The Board is soliciting public comment on rule definitions, impacts, and possible alternatives by April 27, 2026. The proposal maintains the Board's enforcement authority under applicable laws, including the Bank Secrecy Act and the Equal Credit Opportunity Act, and is expected to reduce compliance burdens for smaller institutions.

Sources: www.federalregister.gov

SEC Raises Capital Threshold for Broker-Dealer 17h Reporting Exemption

The Securities and Exchange Commission issued an amended order under Section 17(h)(4) of the Exchange Act, increasing the capital threshold for exemption from Rules 17h-1T and 17h-2T from $50 million to $100 million. The order applies to non-carrying broker-dealers with total assets under $1 billion and capital between $20 million and $100 million, as reported on FOCUS Report line items 940 (assets) and 3530 (capital). According to SEC filings as of September 2025, broker-dealers above these thresholds account for about 97% of total industry capital. The change is expected to grant exemption to about 35 broker-dealers—14% of those previously subject to the rules. The SEC indicated the adjustment is designed to narrow regulatory obligations to firms representing greater market risk.

Sources: www.federalregister.gov

SEC Issues Notice on Amended Regulatory Allocation Plan among FINRA, MEMX LLC, and MX2 LLC

The Securities and Exchange Commission published a notice detailing a proposed amended plan for allocation of regulatory responsibilities among FINRA, MEMX LLC, and MX2 LLC under Rule 17d-2. The amendment would add MX2 LLC as a plan participant, revise procedures on statutory disqualification, and specify FINRA notice requirements for charging MEMX and MX2 for regulatory services. The updated agreement outlines which entities are responsible for examining and enforcing compliance with common rules, as well as delineates which rules remain with each self-regulatory organization. The Commission is seeking public comment on the proposal by March 19, 2026.

Sources: www.federalregister.gov

NCUA Proposes Deregulatory Rule Changes for Credit Unions

The National Credit Union Administration released multiple proposed rules aimed at reducing regulatory burden on federal credit unions (FCUs). The Board is seeking comments on eliminating the requirement for FCU directors to acquire a working familiarity with finance and accounting within six months of election or appointment. Additionally, separate proposals would remove prescriptive lists for written policies on loan purchases, sales, pledging, and the detailed code of conduct on conflicts of interest and compensation. The NCUA also proposes to remove Section 701.26, which governs FCU service contracts—regarded as redundant with standard business practices. All comments must be submitted by April 27, 2026.

Sources: www.federalregister.gov, www.federalregister.gov, www.federalregister.gov

CFPB Seeks Comments on Multiple Information Collection Extensions

The Consumer Financial Protection Bureau is requesting public comments on several information collection activities subject to the Paperwork Reduction Act, with deadlines of March 26, 2026. Collections open for comment include the Truth in Savings (Regulation DD), Disclosure Requirements for Depository Institutions Lacking Federal Deposit Insurance (Regulation I), Home Mortgage Disclosure Act (HMDA), and Registration of Mortgage Loan Originators (Regulation G). Each collection request outlines the type of information to be obtained, estimated annual burdens, and mechanisms for public response. Comments should be submitted via www.reginfo.gov.

Sources: www.federalregister.gov, www.federalregister.gov, www.federalregister.gov, www.federalregister.gov

Treasury Department Submits OMB Review Requests for Reclamation and Debt Repayment Forms

The Department of the Treasury has requested Office of Management and Budget clearance for two Fiscal Service information collections: 'Notice of Reclamation' (used to recover federal payments following a beneficiary's death, with 26,895 estimated respondents and 29,750 annual burden hours) and 'Accounts Receivable Forms for Debt Repayment' (used to assess debtor ability and set payment plans, with 60 estimated respondents). Comments must be submitted by March 30, 2026.

Sources: www.federalregister.gov

White House Touts Housing Affordability and Mortgage Market Actions

The White House released an article detailing the administration's efforts to improve housing affordability in 2025 and 2026. Reported measures include a drop in mortgage rates to a four-year low, a six-month decline in apartment rents, and housing starts reaching a five-month high. Actions cited include directing Fannie Mae and Freddie Mac to purchase $200 billion in mortgage-backed securities, excluding institutional investors from single-family home purchases, barring undocumented individuals from taxpayer-backed mortgages, and rescinding the Affirmatively Furthering Fair Housing rule. The administration noted that 62% of buyers acquired homes at discounted prices last year and highlighted a 132% year-over-year surge in mortgage refinance applications.

Sources: www.whitehouse.gov

GreatAmerica Holdings, Inc. Applies to Establish Edge Corporation

GreatAmerica Holdings, Inc., Cedar Rapids, Iowa, submitted an application to the Federal Reserve Board to establish GreatAmerica Bank International as an Edge Corporation pursuant to Section 25A of the Federal Reserve Act. Public comments regarding the application are due to the Federal Reserve Bank of Chicago or the Board of Governors by March 10, 2026.

Sources: www.federalregister.gov

FinCEN Solicits Membership Nominations for Bank Secrecy Act Advisory Group

The Financial Crimes Enforcement Network (FinCEN) is seeking nominations for membership in the Bank Secrecy Act Advisory Group (BSAAG) for three-year terms. Membership is open to financial institutions, trade groups, regulators, and law enforcement agencies. The Advisory Group provides advice on BSA reporting, BSA modernization, and implementation of the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act), which expanded stablecoin regulation in 2025. Nominations are due March 27, 2026.

Sources: www.federalregister.gov

SEC Approves Rule Change for ICE Clear Credit LLC Collateral Management

The Securities and Exchange Commission approved a proposed rule change from ICE Clear Credit LLC to revise its Collateral Risk Management Framework. The amendments expand descriptions of haircut factor rounding and back-testing procedures, update outdated references, and bring documentation in line with current practices. The changes aim to improve internal consistency without altering ICC's risk methodology.

Sources: www.federalregister.gov

MIAX Sapphire LLC Delays Implementation of Selective Liquidity Auto Purge Feature

MIAX Sapphire, LLC filed notice of a delayed implementation date for its proposed Selective Liquidity Auto Purge (SLAP) feature, postponing the rollout to the second quarter of 2026. The SLAP functionality, offering more granular order cancellation capabilities via the MEO interface, was initially intended for first quarter launch. The Exchange will provide at least 30 days' advance notice to market participants prior to implementation.

Sources: www.federalregister.gov

Legislative Updates

Protecting Privacy in Purchases Act Advances in the House

Bill 1181, the Protecting Privacy in Purchases Act, has been placed on the Union Calendar (Calendar No. 447) in the House. The legislation addresses the finance and financial sector policy area and is awaiting further action.

Sources: www.congress.gov

What We're Reading This Week

• Exclusive | Trump Administration Considers Requiring Banks to Collect Citizenship Information: White House reportedly weighs requirement for banks to collect account holders’ citizenship status.
• Opinion | Vance Tightens the Fraud Spigot: Analysis of new anti-fraud initiatives and their potential reach across U.S. financial platforms.
• In Trump Era, the Only Sure Thing for Businesses and Governments Is Uncertainty: Businesses and governments encounter ongoing regulatory unpredictability amid changing federal policies.
• JPMorgan, Barclays, Fifth Third sued by investors for missing 'giant red flags' at Tricolor: Investors allege major banks failed to act on warning signs prior to losses at Tricolor.
• 4 Ways to Enjoy Your Savings in Retirement Without Going Broke: Considerations for retirees balancing savings withdrawals and long-term financial security.
• Opinion | Everyone Else Is Trading Without Us: Editorial on U.S. role in international securities markets and implications for American investors.
• Indian state chief minister says IDFC First Bank delayed acting on suspected fraud: IDFC First Bank faces political scrutiny in India over alleged response delays to fraud.

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