As per the latest reports, at least 15 cryptocurrency and fintech companies in the United States of America (USA) have pending applications for their respective trust charters with the Office of the Comptroller of the Currency (OCC). The surge is witnessed because of the crypto-friendly Trump administration.
While big shorts such as Circle and BitGo are looking to streamline operations with the help of integrating the traditional financial systems, some are pursuing OCC trust charters as a strategic path.
Reportedly, with the OCC process, crypto firms could skip the traditional banks and operate with the kind of financial infrastructure normally reserved for federally regulated depository institutions.
About The Process of the Office of the Comptroller of the Currency (OCC)!
As per the official data, no cryptocurrency entity has successfully secured a Master Account till today, despite efforts by firms like Custodia Bank. On the other hand, the White House is sitting on an executive order that would require the Fed to formally consider crypto-native companies, showing a sign of relief in the coming time.
Brian Brooks was a crypto-friendly former acting Comptroller and had approved the first crypto trust charter for Anchorage and granted preliminary approval to stablecoin issuer Paxos in 2021.
Following in the footsteps of Brooks, Jonathan Gould could be confirmed as the new head of the OCC. However, an OCC spokesperson did not immediately respond to a request for comment.
While traditional institutions like Bank of America are actively backing the Federal Reserve, the two-tier banking system has taken a big leap by opening its doors to risky disruption of the financial system.
Also Read: OCC Confirms Banks Can Now Engage in Crypto Activities
