According to Cointelegraph, stablecoin issuer Circle has applied to establish a national trust bank in the United States, responsible for managing its USDC reserves. If the application is approved, Circle's digital currency bank will become a federally regulated trust institution. Circle aims to strengthen 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 provide 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 stated that Circle is taking proactive measures to strengthen 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, and down 1.30% in after-hours trading to $178.

#USDC