America’s largest banking lobby has urged the Office of the Comptroller of the Currency to slow approvals of crypto-linked bank charters until Congress finalises digital asset legislation.
In a letter submitted Wednesday, the American Bankers Association warned that granting conditional charters tied to unfinished laws such as the GENIUS Act could expose the financial system to risks before regulatory obligations are clearly defined.
The group asked the OCC to “ensure that robust, broadly applicable safety and soundness standards are well understood and upheld during this period of rapid innovation” and to delay charter decisions until frameworks for stablecoins and digital assets are fully implemented.
Several crypto firms, including Circle, Ripple, BitGo, Paxos, Coinbase and Nomura’s Laser Digital, are seeking or hold OCC trust bank charters that could allow direct regulated settlement without traditional correspondent banking layers.
The ABA also raised concerns about insolvency and resolution risk, citing the collapses of FTX and Celsius, and urged regulators to ensure receivership powers are adequate before approving new applicants, and following the developments Bitcoin was unchanged at $XX.
Banking groups have additionally pushed to prevent non-bank trust companies from using the word “bank” and secured draft language in market structure legislation banning stablecoin yield payments.
The dispute reflects mounting tensions between traditional banks and crypto firms seeking deeper integration into federally regulated finance, with debate over stablecoin interest provisions already stalling progress on broader digital asset legislation.
At the time of reporting, Bitcoin price was $67,164.66.