On December 12, the Office of the Comptroller of the Currency (OCC), which regulates and supervises national and federal banks, approved five applications to create national trust banks.
As reported in the organization’s official publications, the approval was granted as follows: 5 companies related to Bitcoin (BTC) sector and other cryptocurrencies. These are BitGo, Fidelity Digital Assets, Paxos, Ripple, and First National Digital Currency Bank.
As detailed in the OCC’s statement, the applicant passed a review based on legal and regulatory criteria. On this basis they are allowed provide storage and other services; cryptocurrencyHowever, this excludes the provision of guaranteed deposits or loans.
Fidelity Digital Assets and Paxos Trust Company are thus conditionally authorized. national trust bank. Meanwhile, Ripple National Trust Bank and First National Digital Currency Bank situation of Novo (new bank or neobank).
Comptroller of the Currency Jonathan V. Gould spoke on the topic, saying, “New participation in the federal banking sector will be beneficial to consumers, the banking industry, and the economy.”
OCC continues to provide traditional and innovative approaches to financial services to help the federal banking system keep pace with evolving finance and support the modern economy.
Jonathan V. Gould.
What the above means is that the five institutions They are affiliated with approximately 60 domestic trust banks It is currently under the supervision of the same agency. These are typically entities that provide custody, settlement, and fiduciary services rather than traditional credit or retail accounts.
In the specific case of crypto assets, five authorized entities are provided. A clear framework for protecting your digital assetsthe trust is managed by a single regulatory authority and serves institutional clients.
New crypto banks need to comply with regulations
It is important to note that these approvals occur immediately after the OCC. Announces new guidance for US banks. As reported by Criptonoticias, the agency released Interpretive Letter 1188 this week, which allows banks to act as intermediaries in the operation of Bitcoin and cryptocurrencies.
In this scheme, banks act as intermediaries by acquiring assets from customers and selling them to another counterparty. In other words, Virtual currencies are not listed on the balance sheet It operates in the same capacity as a broker acting as an agent.
As a result, the granted authorization supports a model focused on storage, security infrastructure, and regulatory compliance. What it means for most experts A major leap forward in ecosystem regulationafter years of operating outside of a restricted and regulated environment.
However, this is a conditional approval, so crypto companies must strive to meet a set of requirements. this, before getting final approval.
Some of the requirements include capital controls, corporate governance standards, and operational controls.
The next step is for each company to complete additional steps before going live. Based on national laws and regulations. Still, the announced decision will see BitGo, Fidelity Digital Assets, Paxos, Ripple, and First National Digital Currency Bank join the ranks. Clear and defined regulatory pathway Within the scope of American banking law.