Circle secured final approval from the U.S. Office of the Comptroller of the Currency on Friday to establish a national trust bank, marking the clearest federal endorsement to date for a stablecoin issuer. Shares of the company, which trades under the ticker CRCL, jumped 14% in premarket trading on the news.
The new entity, First National Digital Currency Bank, N.A., will operate as Circle National Trust. When it opens, it will provide fiduciary custody of digital assets for Circle and its affiliates. Under the business plan the OCC approved, it could later extend custody to a limited group of institutional clients such as banks and regulated derivatives firms, and eventually manage the reserves that back USDC, all under direct federal supervision. National trust banks can offer custody and fiduciary services but cannot take deposits or make loans.
Federal oversight gives Circle something its rivals mostly lack: a bank charter that lets institutions custody digital assets inside a recognized banking framework. For a company whose entire pitch rests on USDC being the compliant, transparent dollar token, moving reserve management under the OCC would deepen that advantage as banks and fintechs crowd into stablecoins.
The approval also lands at a delicate moment. Circle’s stock fell nearly 19% last week after a consortium of roughly 140 firms, including BlackRock and Visa, announced Open USD, a no-fee stablecoin aimed squarely at Circle’s enterprise market. Friday’s charter offered a counterweight, reinforcing Circle’s institutional credibility even as new entrants pressure its fee model.
Circle applied for the charter in June 2025 and won conditional approval in December, part of a wave of firms pursuing federal bank charters. Crypto.com secured an OCC license in February, and BitGo, Ripple, Paxos, and Fidelity Digital Assets received conditional approvals alongside Circle. CEO Jeremy Allaire called the approval a defining step in bringing digital assets into the core of the U.S. financial system.
Related Listen: The Chopping Block: Visa, Mastercard & 140 Firms Take On Circle, Saylor’s Digital Credit Reset & the DAO Reckoning
The post Circle Wins Final OCC Approval to Launch a National Trust Bank for Digital Asset Custody appeared first on Unchained.
Powered by WPeMatico
