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Crypto banks seek OCC trust-bank model for custody and settlement
OCC has already supervised about 60 national trust banks, and its approvals since December include assets under administration at uninsured national trust banks of $7.2 trillion as of March 31, with $1.7 trillion in custody and safekeeping.
Circle has received a federal bank charter, but the structure does not resemble a typical retail bank. Instead, the charter centers on a trust-bank model focused on custody, fiduciary administration, stablecoin reserve handling, and settlement.
CryptoSlate reports that Circle National Trust is part of a new group of crypto-adjacent institutions that have received Office of the Comptroller of the Currency, or OCC, approval in some form since December. Several firms including Ripple, BitGo, Fidelity Digital Assets, Paxos, Bridge, Crypto.com, Coinbase, Morgan Stanley, and World Liberty Financial were mentioned as having obtained OCC approval, though many are still working through conditions before they can open.
The outlet says the approach gives crypto companies a regulated banking legal shell while keeping them separate from the classic deposit and lending business model. OCC guidance described national trust banks as generally not offering loans, not accepting deposits, and not carrying FDIC insurance, with the institution’s core role tied to administering assets, executing instructions, and maintaining records.
CryptoSlate adds that the OCC has already supervised roughly 60 national trust banks, and cited Morgan Stanley’s decision that put assets under administration at uninsured national trust banks at $7.2 trillion as of March 31, including $1.7 trillion in custody and safekeeping accounts. The article also notes the OCC granted final approval on July 10 for First National Digital.