FinanceCircle's Stock Rises Following Approval for U.S. Trust Bank
This approval is part of a trend among crypto companies pursuing federal banking licenses as they integrate into the regulated financial sector.
By Olivier Acuna|Edited by Jamie CrawleyUpdated Jul 10, 2026, 11:56 a.m. Published Jul 10, 2026, 11:41 a.m. 2 min readMake preferred on ShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailMake preferred on
Jeremy Allaire, Circle's co-founder, chairman, and CEO, stated that the OCC's approval signifies a pivotal moment for cryptocurrency. (HK Fintech Week)SummaryShow
- Circle, the issuer of the USDC stablecoin, has attained final authorization from the U.S. Office of the Comptroller of the Currency to create a federally regulated national trust bank.
- In pre-market trading, the company's shares surged by 14%.
- Circle National Trust will commence operations by offering fiduciary digital asset custody services to Circle and its affiliates, with plans to later include select institutional clients like banks and other regulated financial entities.
Circle (CRCL), the issuer of the USDC stablecoin, which ranks as the second largest globally, has received final approval from the U.S. Office of the Comptroller of the Currency (OCC) to form a national trust bank.
These national trust banks are permitted to deliver fiduciary services and custody for assets, but they do not take consumer deposits or extend loans like traditional banks.
Following the approval, Circle's shares have experienced a 14% increase in pre-market trading.
Circle's CEO, Jeremy Allaire, remarked, "The OCC's approval to form Circle National Trust represents a significant advancement in integrating blockchain technology and digital assets into the U.S. financial system." He added, "Federal oversight of our trust bank establishes a new benchmark for transparency, governance, and scalability in Circle's infrastructure."
This initiative aligns with a broader trend where crypto companies, including Kraken, are increasingly pursuing federal charters, licenses, and banking approvals. For instance, Crypto.com obtained an OCC license in February to function as a federally regulated crypto custodian bank. Other firms like BitGo, Circle, Ripple, Paxos, and Fidelity Digital Assets also received similar conditional approvals in December.
Circle's newly established bank, Circle National Trust, will initially focus on providing fiduciary digital asset custody services exclusively for Circle and its affiliates. However, it may later extend these services to a limited number of institutional clients, including banks and regulated financial entities.
The charter also enables Circle to explore future opportunities to manage the reserves that back its USDC stablecoin under the supervision of the OCC, although the company has indicated that reserve management remains a prospective capability.
Circle submitted its charter application in June 2025 and received conditional approval six months later. The OCC's final endorsement places the trust bank under direct federal oversight.
The USDC stablecoin, developed by Circle, is the second-largest dollar-pegged stablecoin, with approximately $73.2 billion in circulation, while Tether's USDT leads with $184.1 billion.
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Digital assets experienced a third consecutive quarter of losses in Q2 2026, marking the longest losing streak since the 2022 bear market. This decline occurred as institutional investors shifted their capital into AI stocks, while Bitcoin ETFs faced their largest quarterly outflow since inception. Our report analyzes the factors behind this divergence, the ongoing structural adoption, and key indicators to monitor in Q3.
By CoinDesk Research3 hours agoDigital assets experienced a third consecutive quarter of losses in Q2 2026, marking the longest losing streak since the 2022 bear market. This decline occurred as institutional investors shifted their capital into AI stocks, while Bitcoin ETFs faced their largest quarterly outflow since inception. Our report analyzes the factors behind this divergence, the ongoing structural adoption, and key indicators to monitor in Q3.
Why it matters:
Digital assets experienced a third consecutive quarter of losses in Q2 2026, marking the longest losing streak since the 2022 bear market. This decline occurred as institutional investors shifted their capital into AI stocks, while Bitcoin ETFs faced their largest quarterly outflow since inception. Our report analyzes the factors behind this divergence, the ongoing structural adoption, and key indicators to monitor in Q3.
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