Circle Seeks National Trust Bank Charter for Stablecoin Operations

Circle Internet Financial, an American stablecoin and payments firm, has confirmed its application to the U.S. Office of the Comptroller of the Currency (OCC) for a national trust bank charter. This charter, if approved, would allow Circle to launch the First National Digital Currency Bank, N.A., giving the company the authority to manage its stablecoin reserves without offering deposit or loan services.

The proposed trust bank would not function like a traditional bank. Instead, it would focus solely on reserve custody and fiduciary services tied to Circle’s stablecoin operations. This move aims to establish a regulated trust bank to manage its reserve assets and fiduciary operations, as disclosed in an official press release. Notably, an approval from the OCC would make Circle only the second crypto firm to hold this type of license, following Anchorage Digital.

Securing a trust bank license could give Circle tighter control over its core financial operations. Currently, Circle’s reserves are stored at the Bank of New York Mellon and managed by asset management giant BlackRock. If granted the license, Circle would manage these reserves internally, potentially improving operational efficiency and regulatory alignment. This step may also help Circle meet conditions set out in the upcoming U.S. stablecoin legislation, known as the GENIUS Act, which is expected to introduce stricter rules governing the handling of reserves and require federal oversight for larger stablecoin issuers. Circle’s move positions it ahead of those changes.

Circle’s stock performance could be influenced by how investors view the potential regulatory approval. While the crypto stock dipped slightly the following morning, it remained up more than 470% from its IPO price. The firm’s stock has risen sharply since its IPO on June 5, 2025, where it debuted at $31. The company currently has a market capitalization of $46.694 billion, ranking it among the top publicly traded cryptocurrency firms.

Circle’s application highlights the growing importance of the stablecoin market, which reached a market capitalization of over $260 billion on July 1. Top financial institutions, including JPMorgan Chase, Bank of America, Visa, and Mastercard, have been adjusting their digital currency strategies as U.S. lawmakers move closer to passing regulations focused on stablecoins. Treasury Secretary Scott Bessent recently projected that stablecoin legislation could help grow the U.S. market to over $2 trillion by 2028. Analysts at Bernstein have also forecasted global market growth reaching $4 trillion over the next decade. With its second-largest stablecoin, USDC, Circle is positioned to benefit from these changes, pending the approval of its bank charter and broader adoption of digital financial infrastructure.