Block Applies for Trust Bank Charter to Custody Bitcoin and Stablecoins
- Block has submitted an application to the Office of the Comptroller of the Currency (OCC) for a national trust bank called Builders Bank & Trust.
- If approved, the bank will provide custody services for Bitcoin and stablecoins, operating under OCC supervision.
- Builders Bank would not accept deposits or make loans, distinguishing it from traditional banks.
- Lee Woolley, Block’s digital asset strategy lead, will serve as president and CEO of Builders Bank.
- Other companies like Ripple and BitGo have also pursued similar national trust bank charters.
The establishment of Builders Bank aims to create a consistent national framework for Block’s custody operations as it expands in the digital asset space. This move reflects a growing trend among fintech firms seeking regulatory clarity in cryptocurrency services.
Block’s initiative to create a federally regulated trust bank underscores its commitment to providing secure custody solutions for stablecoins and Bitcoin, aligning with industry developments from other financial technology firms.(Source)
