Stripe’s Bridge Joins Crypto Firms Securing Nod for Bank Charter
Summary
Stripe Inc.'s stablecoin division, Bridge, has received conditional approval from a US regulator to operate as a national trust bank, marking a significant step for firms seeking to provide banking services linked to digital assets.
Key Insights
What is a national trust bank charter and how does it differ from a traditional bank charter?
A national trust bank charter is a federal regulatory designation granted by the Office of the Comptroller of the Currency (OCC) that allows institutions to provide custody, asset management, and stablecoin issuance services. Unlike traditional bank charters, national trust bank charters do not permit the institution to lend money or accept insured deposits from customers. This distinction is important because it allows crypto-native firms like Bridge to operate within a federal regulatory framework while focusing specifically on digital asset services rather than traditional banking functions.
What is the GENIUS Act and why is it significant for stablecoin regulation?
The GENIUS Act is federal legislation passed by the Senate in June 2025 that established the first comprehensive federal regulatory framework for stablecoins in the United States. The act authorizes the OCC to approve applications from crypto firms and other entities to become Federal qualified payment stablecoin issuers. This legislation is significant because it represents a major shift toward federal recognition of digital dollar infrastructure, moving stablecoin regulation away from fragmented state-by-state money transmitter licensing toward a unified federal standard. Multiple cryptocurrency firms, including Circle, Paxos, Ripple, Coinbase, and Bridge, have applied for trust charters under this new framework.