US: Cryptocurrency company approved to establish national trust bank.
Circle Internet Group and Ripple have received preliminary approval to establish their own national trust banks. (Photo: Getty Images)
The cryptocurrency industry in the US has just recorded a significant step forward, with several large businesses in the sector receiving initial approval from banking regulators, paving the way for deeper integration into the traditional financial system.
On December 12, the U.S. Office of the Comptroller of the Currency (OCC) announced that it had granted conditional approval to a number of cryptocurrency companies to establish or convert to a national trust bank model. Among these are Circle Internet Group and Ripple, two businesses that have received preliminary approval from the OCC to establish their own national trust banks.
Additionally, Paxos, BitGo, and Fidelity Digital Assets were also permitted to convert their state-issued trust banking licenses to federal licenses, allowing them to operate nationwide in the United States.
However, these decisions are only initial approvals. The OCC stated that final approval is still required before these trust banks can officially begin operations, and reserves the right to change or suspend the decision if the conditions are not met.
According to regulations, a national trust bank license allows cryptocurrency companies to hold and manage customer assets, as well as execute and settle transactions more quickly. However, this type of license does not permit the business to accept deposits or provide credit, and customer accounts are not insured by the Federal Deposit Insurance Corporation (FDIC) as they are at traditional commercial banks.
To be fully licensed, cryptocurrency companies must comply with a series of OCC requirements, including minimum capital and liquidity standards, and are limited to operating within the confines of trust banks.
In addition, these businesses must also comply with the regulations in the GENIUS Act—the federal legal framework for USD-pegged stablecoins—as well as other related laws that the US Congress is expected to consider in the near future.
Jonathan Gould, the head of the OCC appointed by President Donald Trump, argued that the addition of new institutions to the federal banking sector would benefit consumers and the economy , while contributing to a more dynamic and competitive banking system.
However, this move has also faced opposition from some organizations in the banking industry, with concerns that cryptocurrency companies could benefit from more lenient regulation, thereby increasing systemic risk.
Currently, Anchorage Digital is the only cryptocurrency business holding a national trust bank license in the United States. The OCC states that it oversees a total of approximately 60 national trust banks, in addition to commercial banks and other financial institutions within the federal system.
Source: https://vtv.vn/my-cong-ty-tien-ky-thuat-so-duoc-chap-thuan-lap-ngan-hang-tin-thac-quoc-gia-100251214093746607.htm
Comment (0)