Jack Dorsey's Block Applies for Bank Charter to Custody Bitcoin
Block has applied to the OCC for a national trust bank charter for Builders Bank & Trust, an uninsured, non-depository entity that would not take deposits or make loans. Its planned business is custody of Bitcoin and other digital assets, customer trading on a riskless principal basis, and stablecoin settlement. Block says it has operated crypto services for about eight years under state licenses and that a federal charter would provide a consistent national framework as the business grows. The proposed bank would be based in Sioux Falls, South Dakota, with no branches. Lee Woolley would chair and serve as CEO; Jack Dorsey is not listed as an organizer or executive. Approval is not guaranteed: the OCC has denied at least one similar application and faces criticism from Sen. Elizabeth Warren, who argues the agency lacks authority to charter firms without traditional fiduciary duties.
