Stripe-owned stablecoin platform Bridge said Tuesday it has secured a conditional approval from the Office of the Comptroller of the Currency to form a federally chartered national trust bank.
Bridge Gears For Federal Oversight
Bridge stated on X that once the charter is fully approved, it would be able to operate stablecoin products and services under direct federal oversight.
Subject to relevant law and OCC requirements, Bridge would be allowed to offer services such as custody of digital assets, stablecoin issuance and stablecoin reserve management.
“Our compliance framework already positions Bridge to be GENIUS-ready. Now achieving a national trust bank charter will provide our customers the regulatory backbone they need to build with stablecoins confidently and at scale,” the company said.
Are Stablecoin Banks The Future?
This development comes amid a rising trend of cryptocurrency firms pursuing banking licenses to support their stablecoin operations. Approvals would position these firms to comply with the recently passed GENIUS Act, which sets standards for the issuance and operation of dollar-backed stablecoins.
Ripple Labs (CRYPTO: XRP) and Circle Internet Group Inc. (NYSE:CRCL) have also received conditional OCC approval to charter their respective national trust banks, although final approval is still pending.
World Liberty Financial (CRYPTO: WLFI), backed by President Donald Trump, also applied for a national banking license last month to issue and custody its dollar-pegged World Liberty Financial USD (USD1) stablecoin.
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
Photo courtesy: Skorzewiak on Shutterstock.com
Recent Comments