Ripple Wins OCC Green Light for National Trust Bank—Crypto Banking Revolution?
5.8 Regulation Ripple has received conditional OCC approval to establish a national trust bank, enabling it to offer digital asset custody and trust services under federal oversight. This move marks a major step toward integrating crypto firms into the U.S. banking system.
The U.S. Office of the Comptroller of the Currency (OCC) has granted conditional approval for Ripple to establish Ripple National Trust Bank, marking a significant regulatory milestone for the blockchain firm and the digital asset industry. This approval is part of a broader move that also includes Circle, BitGo, Fidelity Digital Assets, and Paxos. Ripple's new entity will operate as a de novo national trust bank, focusing on trust services and digital asset custody, including its RLUSD stablecoin and potentially supporting XRP settlement. The bank will not engage in traditional banking activities like accepting deposits or issuing loans. The OCC's decision places Ripple under direct federal supervision, alongside oversight from the New York Department of Financial Services. This dual oversight is seen as a step toward integrating blockchain-based financial services with established U.S. regulatory frameworks. The approval could eventually allow Ripple access to federal payment infrastructure, pending further regulatory steps. The announcement led to increased trading activity and price movement for XRP, reflecting market anticipation of Ripple's deeper integration into the U.S. financial system. Other crypto firms, such as Coinbase and Crypto.com, have also applied for similar charters, signaling a broader shift toward regulatory acceptance of crypto-native institutions.
