Techub News reports, according to Crowdfund Insider, that the Office of the Comptroller of the Currency (OCC) has conditionally approved trust bank charters for Ripple, BitGo, Fidelity Digital Assets, Paxos, and Circle.
Techub News notes that conditional approval is a form of preliminary recognition, indicating that the OCC has reviewed the applications and believes the companies generally meet regulatory requirements (such as capital adequacy, risk management frameworks, and business plans), but it is not a final license. Companies must meet specific conditions within a set timeframe to convert to full operational status. Once all conditions are met, the OCC will issue a final, unconditional national trust bank charter, allowing the companies to immediately exercise trust bank powers, which mainly include: expanding core business, managing client assets as trustees, processing payment settlements, custody of digital assets (such as stablecoin reserves), and providing related financial services. However, trust bank charters differ from full-service banks, as they cannot accept deposits or make loans. They may apply for a Federal Reserve master account, accelerating clearing and accessing the traditional financial system, further promoting the integration of cryptocurrency and traditional finance.
