Bank Groups Urge OCC Delay Allowing Crypto Bank Charter Bids
US banking groups have requested the Office of the Comptroller of the Currency (OCC) to delay decisions on bank licenses for crypto companies until more details are disclosed. They argue that approving licenses for firms like Circle and Ripple would significantly deviate from existing policy and raise substantial legal and policy concerns. The groups contend that the applications lack sufficient public information for meaningful assessment and scrutiny. They assert that providing custodial services for digital assets does not constitute fiduciary activities traditionally associated with national trust banks. Allowing crypto firms to operate as national trust banks could lead to increased competition for traditional banks. Recent stablecoin laws under the GENIUS Act incentivize stablecoin issuers to seek national bank charters, enabling broader operational capabilities without state-level licenses.
