"The U.S. Office of the Comptroller of the Currency (OCC) has granted conditional approvals for five digital asset firms - Ripple, Circle, Fidelity Digital Assets, BitGo, and Paxos - to become federally chartered national trust banks, marking a major milestone in the integration of cryptocurrency into traditional finance. The approvals, announced Friday, allow the firms to convert from state-level trust charters to federal status, subject to meeting the OCC's conditions."
"Circle, issuer of the $78 billion USDC stablecoin, said the charter would enhance the safety and regulatory oversight of its reserves while enabling fiduciary digital asset custody for institutional clients. CEO Jeremy Allaire emphasized that the federal charter would provide "greater clarity and confidence" to institutions building on Circle's platform as stablecoins gain mainstream adoption. Paxos, known for PYUSD and the consortium-backed Global Dollar (USDG), said federal oversight would allow businesses to issue, custody, trade, and settle digital assets with clarity and confidence."
"Unlike larger national banks, trust banks cannot accept cash deposits or make loans, but they can hold and manage customers' digital assets. BitGo, a South Dakota-based crypto custodian, said the federal charter would allow it to expand services nationwide, including trading, staking, stablecoin, and treasury offerings for institutions. BitGo has also filed to go public, reporting $4.19 billion in revenue for the first half of 2025, up from $1.12 billion during the same period in 2024."
The OCC granted conditional approvals for Ripple, Circle, Fidelity Digital Assets, BitGo, and Paxos to convert state trust charters into federally chartered national trust banks, subject to conditions. Once finalized, the institutions will join roughly 60 national trust banks and can offer fiduciary and custody services across the United States. Trust banks cannot accept cash deposits or make loans but can hold and manage customers' digital assets. Circle cited enhanced safety and oversight for USDC reserves and expanded institutional custody. Paxos emphasized clearer regulatory pathways for issuance and settlement, while BitGo highlighted nationwide service expansion and strong recent revenue growth.
Read at Bitcoin Magazine
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