When Crypto Meets Complaining: US Banks Beg OCC to Slow Down

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So here we are again, with the US banking groups playing the role of the concerned parent. This time, they’re tapping the shoulder of the Office of the Comptroller of the Currency (OCC), whispering sweet nothings about delaying the decision on granting national banking charters to crypto firms like Ripple and Circle. 🙄

US Banking Groups Urge OCC To Delay Crypto Firms’ Application

In a joint letter to the OCC on Thursday, the US banking networks, including the American Bankers Association and a few of their closest friends, pleaded with the OCC to take a step back from the crypto altar. They argued that the applications from Circle Internet Group, Fidelity Digital Assets, and Ripple Labs were as transparent as a mud puddle after a rainstorm. 🌦️

The groups went on to say, “There are significant policy and legal questions as to whether the Applicants’ proposed business plans involve the types of fiduciary activities performed by national trust banks.” Translation: We’re not sure these guys can handle the responsibility of a piggy bank, let alone a national trust bank. 🐷

US Banks Warn: Lack of Transparency Could Pose As Material Risk

The letter also mentioned that the applications don’t exactly invite public scrutiny. If the OCC decides to change its policy, the public might find themselves in the dark, scratching their heads over the new procedures. The groups warn, “These crypto firms operating as national trust banks could expose the US banking and financial systems to material risks.” Or, in simpler terms, it’s like letting a toddler loose in a glassware store. 🤷‍♂️

US Anticipates More Crypto Firms to Seek Banking License

Crypto experts, always the optimists, predict that the passing of the GENIUS Act will be like a neon sign flashing “Open for Business” to more crypto firms looking to get their hands on a chartered banking license. With a clearer regulatory framework for “payment stablecoin,” the confidence among crypto investors is soaring higher than a helium balloon. 🎈

Logan Payne, a crypto-focused lawyer at Winston & Strawn, adds, “This charter license would allow the crypto firms to engage in a wider range of activities without the need for state-to-state licenses in the US.” It’s like getting a universal remote for your financial life. 📺

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2025-07-22 08:24