Circle Stock Jumps as Stablecoin Issuer Wins Final Federal Banking Charter Approval
Circle received final OCC approval to form a national trust bank, moving USDC operations from state-by-state oversight to a federal framework. The company said the charter will strengthen custody of customer assets and reserve management and place USDC’s infrastructure under banking rules focused on safety, soundness, and transparency. Circle shares rose sharply after the announcement. The approval reflects a broader shift under the Trump administration, which has opened the door to more crypto banking access. Other firms, including Sony Bank, Ripple, BitGo, Fidelity Digital Assets, and Paxos, have also received or sought similar approvals, drawing scrutiny from lawmakers such as Sen. Elizabeth Warren. Circle CEO Jeremy Allaire said the charter supports a new internet money layer and will allow custodial services for digital assets, including stablecoins and tokenized securities. Coinbase CEO Brian Armstrong praised the move, despite Coinbase recently backing a competing stablecoin initiative, Open USD.
