According to ChainCatcher and DL News, the two major stablecoin issuers in the cryptocurrency field, Ripple and Circle, have both applied for a US national trust bank license. If approved, this will subject them to federal regulation and bring them closer to the core of the US financial system. Obtaining the license will place these companies under the supervision of the Office of the Comptroller of the Currency (OCC), requiring them to adhere to the same capital, liquidity, and risk standards as traditional banks.
Chris Colson, a payment expert at the Atlanta Federal Reserve Bank, stated that this is crucial for cryptocurrencies, primarily because it demonstrates that stablecoins will truly enter the financial mainstream. Additionally, obtaining a bank license means these two companies can act as federally regulated custodians, hold stablecoin reserves, and potentially access the Federal Reserve's real-time payment system. He emphasized that "the actions of Circle and Ripple blur the lines between financial technology and traditional banking," posing significant competition to existing banks.
