US Bank Regulator Allows Five Digital Asset Firms To Launch Trust Banks

The Office of the Comptroller of the Currency (OCC) has conditionally approved national trust bank charters for five firms focused on digital assets.

The move opens the door for the companies to operate as national trust banks, joining about 60 others under OCC supervision.

The approved firms include two new charters: First National Digital Currency Bank and Ripple National Trust Bank.

Three others are conversions from state trust companies: BitGo Bank & Trust, National Association; Fidelity Digital Assets, National Association; and Paxos Trust Company, National Association.

Each must meet OCC conditions to finalize their charters.

The OCC says the follow a rigorous review process based on statutory and regulatory standards.

Comptroller Jonathan V. Gould hailed the decisions as a big boost for banking.

“New entrants into the federal banking sector are good for consumers, the banking industry and the economy.

They provide access to new products, services and sources of credit to consumers, and ensure a dynamic, competitive and diverse banking system. The OCC will continue to provide a path for both traditional and innovative approaches to financial services to ensure the federal banking system keeps pace with the evolution of finance and supports a modern economy.”

The federal banking system, overseen by the OCC, includes over 1,000 institutions handling 67% of U.S. banking activity and more than $17 trillion in assets.

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