The OCC today approved conditions for five digital asset-oriented companies to establish national trust banks, representing a cautious but significant expansion of crypto companies into the federal banking system.
This decision challenges the view from some segments of the banking industry that crypto cannot meet regulatory standards. However, it also complicates the crypto industry's own narrative of being deliberately excluded from financial services.
Five companies are behind the approval.
Besides Ripple National Trust Bank , the Office of the Comptroller of the Currency (OCC) has also approved conditions for four other digital asset institutions, indicating this is a broad regulation rather than an isolated case.
In addition to Ripple , the OCC also approved applications to establish new banks for First National Digital Currency Bank and allowed Circle, BitGo, Fidelity Digital Assets, and Paxos to convert from state to federal licenses.
All five approvals are provisional, requiring each organization to meet certain operational, governance, and compliance standards before being granted full authorization.
“The entry of new entities into the federal banking sector is a positive sign for consumers, the banking industry, and the economy as a whole,” Chia Jonathan Gould, OCC Supervisor, in a press release. “This provides consumers with access to new products, services, and financial resources, while ensuring the banking system remains dynamic, competitive, and diverse.”
These companies share commonalities in their business models and legal standing within the financial system.
None of these companies plan to become traditional commercial banks that accept deposits or offer conventional credit products. They focus on custody services, payments, and building digital asset infrastructure, primarily serving institutional clients.
For major players like Fidelity and Paxos, a national banking license allows them to work with a single federal supervisory authority, granting them nationwide control. This replaces the Shard state-by-state supervisory model, simplifying compliance processes for large volume .
For newer companies like Ripple National Trust Bank and First National Digital Currency Bank, this approval opens the door to access the federal system without having to operate as retail banks.
In summary, this series of licenses shows that the OCC is not excluding crypto companies but is selectively choosing the appropriate model to license.
Explanation of debanking disputes
The debate over whether crypto companies should be "cut off" from banking services has intensified in recent years, often described as a tug-of-war between regulators, banks, and digital asset companies .
Crypto industry leaders have repeatedly emphasized that banks, under pressure from regulators, have sought to restrict access to basic financial services. This narrative has spread under the name “ Operation Choke Point 2.0 ,” with many similarities to previous tightening campaigns allegedly originating from former SEC Chairman Gary Gensler .
Banks and regulators also countered, arguing that these decisions were based on risk management, legal compliance, and image protection rather than prejudice against the crypto industry.
These tensions resurfaced on Wednesday when the OCC released preliminary findings from its assessment of allegations that the largest US banks had cut banking services .
Debanking is real, but its scope is limited.
In its assessment on December 10, 2023, the OCC concluded that between 2020 and 2023, the largest banks in the United States had implemented measures to restrict banking services.
The agency said the banks had inappropriately discriminated between legitimate businesses, restricting access or imposing stricter vetting processes based on reputation.
Activities related to digital assets are explicitly listed among the affected sectors, along with the firearms, energy, adult entertainment, and short-term lending industries.
However, the OCC's interpretation is much narrower than the industry's "Operation Choke Point 2.0" statement. The report focuses on the bank's internal policies and procedures, rather than a centralized directive requiring banks to sever ties with crypto companies.
This is a key differentiating factor when evaluating this topic.
Much of this review coincides with the 2022–2023 crypto slump and its impact on the banking industry.
This assessment was published under Gould's tenure, who was appointed by President Donald Trump earlier this year . Gould argues that this is part of an effort to curb the use of banks to exclude businesses solely because of reputational risk.
In this context, the OCC's provisional approval of five crypto-oriented trust banks suggests that systemic exclusion of this sector is unlikely to continue.
Despite warnings from banks and associations about regulatory imbalances, the OCC's decisions demonstrate increasingly open access to the federal system for compliance-focused trust banking models.
