US Banking License Hunt: Crypto.com Joins Rivals Ripple and Coinbase
In a bid to cement its position as a leader in the cryptocurrency space, Crypto.com exchange has filed an application for a National Trust Charter in the US. With this strategic move, the exchange joins a growing list of crypto platforms seeking to integrate digital assets with traditional banking services.
Following the footsteps of industry giants like Ripple and Coinbase, Crypto.com intends to expand its regulated custody and staking services nationwide. The move reflects the company’s commitment to regulatory compliance and customer protection, while also highlighting the increasing significance of crypto in the mainstream financial landscape.
Crypto.com Files for National Trust Charter
According to an X post shared by Crypto.com earlier today, the crypto exchange has submitted an application to the US Office of the Comptroller of the Currency (OOC) to become a National Trust Bank. This marks a significant step to expand its custody and staking services for institutional investors.
Notably, the proposed charter would enable the company to offer custody and staking solutions across multiple blockchains and digital asset protocols, including Cronos, targeting Digital Asset Treasuries (DATs), Exchange Traded Funds (ETFs), and other institutional clients seeking federally regulated digital asset management. Co-Founder and CEO Kris Marszalek stated,
“Building the Crypto.com product and service portfolio through regulated and secure offerings has been our focus since day one. We are excited to take this next step by filing for a National Trust Bank Charter and look forward to continuing to pursue opportunities to provide customers with the trusted services they require.”
Ripple Awaits Regulatory Approval
On October 23, Ripple Labs announced that the Ripple National Trust Bank application has entered the next phase, currently under review. Similar to Crypto.com’s latest move, Ripple also applied to establish as a de novo national trust bank with the Office of the Comptroller of the Currency. The bank would be based in New York, with Paul Hastings LLP serving as legal counsel, led by Dana Syracuse and Josh Boehm.
A national trust bank charter would enable Ripple to offer trust, fiduciary, and banking services, including potential access to Fedwire and FedNow. Notably, Ripple’s victory in the SEC lawsuit in 2024 may enhance the charter’s credibility and reduce regulatory uncertainty. CEO Brad Garlinghouse noted,
“Blockchain doesn’t replace banking, it upgrades it. Our goal is to make digital finance as trusted and accessible as the systems it aims to improve.”
Coinbase’s Vision
Another major player in the race is Brian Armstrong’s Coinbase. The exchange has also applied for a national bank license from the Office of the Comptroller of the Currency (OCC) to expand its institutional custody business. Coinbase vice president Greg Tusar stated,
“We’re excited about getting a national trust charter for our custody business and think that down the road, it will open up a number of things for us.”
A national trust bank license has limited capabilities compared to a full-service national bank charter. It doesn’t permit lending or deposit-taking, and customer accounts aren’t FDIC-insured. However, it enables companies to safeguard customer assets, facilitate payments and transactions, and settle certain transactions on their behalf.
Currently, Anchorage Digital is the sole crypto firm with a national trust bank license, but the OCC’s website shows over a dozen of companies and crypto exchanges have applied for one this year alone. Notable crypto firms among the applicants include Circle, Ripple, Coinbase, BitGo, and Paxos.
