Regulation News: Crypto Firms Push for Bank Status in Response to US Legislative Changes
Crypto Firms Seek Bank Charters as Wall Street’s Doors Reopen
After years of being sidelined, crypto companies are coming back, this time through the front door of the US banking system. Citing sources familiar with the matter, the Wall Street Journal revealed that several major players, including Circle and BitGo, are preparing to apply for bank charters or financial licenses.
Traditional Banks Respond to Shifts
Traditional banks are also responding to the shift. US Bancorp is re-launching its crypto custody program via NYDIG, while Bank of America (BofA) said it would issue its stablecoin once the legal framework is in place. Even global giants are watching closely, with a consortium including Deutsche Bank and Standard Chartered evaluating how to expand crypto operations into the US.
Legitimacy in the Banking Sector
These firms reportedly aim to operate with the same legitimacy and access as traditional lenders. This includes holding deposits, issuing loans, and launching stablecoins under regulatory supervision. The timing is not random. A sharp pivot in federal policy, driven by President Trump’s pledge to make the US a Bitcoin superpower, has reopened regulatory pathways once shut after the FTX collapse.
Congress Advances Stablecoin Legislation
In parallel, Congress is advancing stablecoin legislation requiring issuers to secure federal or state licenses. The push for bank status comes amid a broader effort to legitimize crypto within US finance. Earlier this year, regulators rolled back key restrictions, among them the SEC’s controversial SAB 121.
Future Prospects for Crypto Firms
The Office of the Comptroller of the Currency (OCC) clarified that banks can offer stablecoin and custody services, provided they comply with established banking rules. These signals have emboldened crypto firms previously kept at arm’s length. Anchorage Digital, the only US crypto-native firm with a federal bank charter, says the regulatory lift is massive but worth it.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.