Circle just became a regulated bank
according to Congressional records
If you can't beat ‘em, join ‘em. Cryptocurrency giants are looking to join their rivals as regulated banking entities.
As crypto becomes more mainstream, companies are looking for ways to become regulated and get licensing.
Several have already received preliminary approval or are seeking licenses and charters.
Now a major player in the crypto space has officially received a national trust bank charter, marking a new era.
Crypto goes mainstream
Several crypto and fintech companies have been eyeing bank status for a while as they seek to become more mainstream, according to Bloomberg.
The number of applications has increased during U.S. President Donald Trump's second term, with more national trust bank charter applications made in the past six months than in the previous four years combined, Fintech Futures found.
Crypto companies that are becoming banks
- Crypto firm Ripple received conditional approval to become a bank in January, Global Finance Magazine reported.
- Crypto.com received a license to operate as a crypto custodian bank in February, CoinDesk reported.
- Kraken is also trying to become regulated and is seeking a banking license in Europe, according to CoinDesk.
- Protego has also received preliminary approval for its charter, a review of government documents shows.
Most crypto companies that have applied to become banks have received national trust bank charters.
These charters are a bit different from the banking license that your local bank might have. For one, a national trust bank can't take deposits or give loans. And normally it doesn't have FDIC insurance.
Because of this, national trust banks aren't regulated by the Federal Reserve in the same way a full-service bank like Wells Fargo or JP Morgan Chase is.
But what a national trust bank can do is safeguard assets (like crypto), act on behalf of clients in payment transactions and settle transactions, according to Congressional records.
And now crypto giant Circle is one of the latest fintechs to get a national trust bank charter.
Approval in line with government's objectives to regulate crypto
Circle received approval from the U.S. Office of the Comptroller of the Currency (OCC) on July 10, the company announced.
The national trust bank will be called First National Digital Currency Bank, while the bank itself will go by the name Circle National Trust.
"OCC approval to establish Circle National Trust marks a defining step in bringing blockchain technology and digital assets into the core of the U.S. financial system," said Jeremy Allaire, co-founder, chairman, and CEO of Circle.
Circle is best known for USDC, a stable coin that is pegged to the U.S. dollar.
More fintech
- 174-year-old bank closing more branches
- PNC launches new app to beat rivals
- Another major fintech firm cutting 10% of its workforce
The bank charter will give Circle a place to have digital asset custody and could eventually offer custody directly to institutional investors, like banks. The charter will also allow Circle to manage the USDC reserve, which would also bring it under federal oversight.
The approval is in line with the GENIUS Act, a federal stablecoin law enacted last July that is pushing the industry towards more federal oversight.
It is not the first time the publicly traded crypto firm has received licensing. It received the first BitLicense from the New York Department of Financial Services, and is licensed in the European Union, as well as the UK, Singapore, and Abu Dhabi, the company said.
Related: Buy now, pay later company wants to become a bank
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This story was originally published July 13, 2026 at 8:07 AM.