U.S. banking regulators have conditionally approved five major digital asset firms to operate as national trust banks, marking a broad shift in how crypto companies enter the federal banking system. The Office of the Comptroller of the Currency granted the approvals on December 12, according to public filings and people familiar with the matter. The decision covers Circle and Ripple through new national trust bank charters, while BitGo, Fidelity Digital Assets, and Paxos received approval to convert existing state trust entities into federally regulated institutions. Together, the moves expand the list of crypto firms operating under direct OCC oversight. The approvals remain conditional. Each firm must still meet capital, governance, compliance, and operational requirements before launching under its new charter. However, the step signals growing regulatory acceptance of federally supervised crypto custody and settlement services. What the OCC Approved and Why It Matters Circle and Ripple received approval to establish new national trust banks. These charters allow firms to provide custody and trust services nationwide under a single federal regulator, instead of navigating separate state rules. BitGo, Fidelity Digital Assets, and Paxos followed a different path. The OCC approved their conversions from state chartered trust companies to national trust banks, a move that places them directly under federal supervision while keeping their business models focused on custody and settlement. National trust banks differ from commercial banks. They generally do not accept retail deposits or issue traditional loans. Instead, they specialize in safeguarding assets, managing fiduciary accounts, and supporting institutional financial infrastructure tied to digital assets. Conditional Approval and the Regulatory Context Conditional approval means the firms cannot yet operate as national trust banks. The OCC requires each applicant to complete supervisory conditions related to risk controls, compliance systems, and internal governance before receiving final authorization. This framework mirrors the approach taken with Anchorage Digital, which remains the only crypto firm currently operating with a finalized national trust bank charter. Regulators have cited that model as a reference point for integrating digital asset firms into the federal banking system. The approvals arrive as policymakers push for clearer oversight of crypto infrastructure rather than enforcement through fragmented state regimes. By expanding the number of federally supervised trust banks, regulators aim to bring core crypto custody and settlement activity under consistent national standards.
