Coinbase has secured a nationally chartered trust bank designation from the U.S. Office of the Comptroller of Currency, according to a company announcement. The status, which is more limited than a full bank charter, enables Coinbase to offer payments and custody services and expand its stablecoin operations, but it cannot accept traditional deposits or issue loans. “This is an important step forward for Coinbase and the broader crypto industry,” the firm said, emphasizing its pursuit of clear regulatory oversight. The approval follows similar efforts by other digital asset firms such as Block, Wise, Circle Internet Group, and Ripple, which have also obtained trust charters. Coinbase touts its position as the world’s largest crypto custodian and highlights a recent partnership with Citigroup for stablecoin‑to‑currency conversions.
However, the company faces a contentious regulatory history, including SEC lawsuits in 2022 and 2023, a $100 million settlement with New York in 2023, and a hacking incident last year in which attackers demanded $20 million.
Source: Engadget · Summarized by HeadlinesBriefing