According to Cointelegraph, stablecoin issuer Circle has applied to establish a national trust bank in the United States to manage its USDC reserves. If the application is approved, Circle's digital currency bank will become a federally regulated trust institution. Circle aims to enhance the issuance and circulation infrastructure of USDC through the digital bank and provide digital asset custody services to institutional clients. National trust banks cannot accept cash deposits or issue loans, but they can offer custody services and operate nationwide. Circle stated that the federally regulated trust charter will help it meet the requirements of the GENIUS Act, which has passed the U.S. Senate and is now in the House of Representatives. Circle's co-founder and CEO Jeremy Allaire noted that Circle is taking proactive steps to strengthen the USDC infrastructure and align with emerging U.S. regulations. Other crypto companies are also applying for national trust bank licenses. Circle's stock was flat in recent trading, closing up 0.48% at $181 but falling 1.30% to $178 in after-hours trading.

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