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US Regulator Approves Five Firms to Establish Digital Asset Trust Banks

The Office of the Comptroller of the Currency (OCC) has taken a significant step by conditionally approving national trust bank charters for five digital asset firms.

This decision allows these companies to operate nationwide as trust banks, joining around 60 others already under OCC supervision.

Among the approved entities are the newly chartered First National Digital Currency Bank and Ripple National Trust Bank.

The other three firms are transitioning from state trust companies to national charters: BitGo Bank & Trust, Fidelity Digital Assets, and Paxos Trust Company.

Each firm must adhere to OCC stipulations to finalize their respective charters, ensuring compliance with regulatory standards.

Comptroller Jonathan V. Gould expressed optimism about the decisions, describing them as a boon for banking that enhances competition and consumer choice.

He emphasized the importance of new entrants in the banking sector for providing innovative products and services to consumers.

The OCC aims to balance traditional banking with innovative financial approaches, reflecting the evolving landscape of finance.

Incumbents in the federal banking system, supervised by the OCC, manage over 1,000 institutions accounting for 67% of U.S. banking activities.

This progressive move signals a growing recognition of digital assets within the mainstream financial system.