Written by: Rhythm Xiao Gong, kkk.
Stablecoins have 'landed,' and the 'ceiling' of US crypto finance has been opened again.
Just last night, the US House of Representatives officially passed the GENIUS Act and the CLARITY Act, giving the stablecoin sector a 'formal framework' and setting a clear regulatory tone for the entire digital asset industry. The White House subsequently announced that Trump will personally sign the GENIUS Act this Friday. From now on, stablecoins are no longer experimental products in a gray area, but are set to be written into US law and endorsed by the state as 'official monetary tools.'
Almost simultaneously, the three major financial regulatory giants — the Federal Reserve, FDIC, and OCC — jointly released guidance a few days earlier, clearly stating that US banks can provide crypto asset custody services for customers. All banks and institutions on Wall Street have begun to act.
Traditional banks are waving the banner of stablecoins.
As the second largest bank in the US, Bank of America (BoA) has officially confirmed that it is actively preparing stablecoin products and considering collaborating with other financial institutions for a joint launch. They stated, 'We are ready, but still waiting for further clarity from the market and regulators.'
'We have done a lot of preparatory work,' stated Bank of America CEO Brian Moynihan, indicating that they are currently conducting in-depth research on customer needs and will launch stablecoin products at an appropriate time, potentially collaborating with other financial institutions.
At the same time, Bank of America has also launched an on-chain research weekly report called (On Chain), clearly focusing on stablecoins, RWA, payment settlement, and infrastructure. The release of (On Chain) coincides with a crucial week in Washington, where legislators are reviewing the GENIUS Act, the CLARITY Act, and anti-central bank digital currency surveillance bills, all of which could impact US policy direction on stablecoins and digital infrastructure.
The research team pointed out that 'instead of speculation, we focus on the underlying architecture that can truly change finance,' emphasizing that Ethereum is expected to play a core role in promoting the interconnectivity of digital assets. They even revealed that they are already piloting stablecoin collaborations with mainstream retail platforms such as Shopify, Coinbase, and Stripe, aiming to break through the previous ways of using stablecoins and create entirely new business models.
'As long as the regulations are clear, banks are ready to accept cryptocurrency payments,' said Bank of America CEO Brian Moynihan.
Citibank is also poised to 'take off' when the wind comes.
Citibank CEO Jane Fraser clearly stated that the bank is actively advancing stablecoin-related plans and sees them as an important cornerstone for future international payments. Citibank's bet on stablecoins is driven by reflections on global cross-border payments: high fees and slow processing times. Currently, the hidden costs of cross-border transactions often reach as high as 7%, while the existing interbank networks are far inferior to on-chain solutions in terms of availability and efficiency. Citibank's goal is to build a new payment track using stablecoins that is always on, programmable, and allows corporate clients to transfer money globally at low cost and high efficiency.
As an 'old acquaintance' in the crypto space, JPMorgan Chase has been moving even faster.
On June 18, JPMorgan Chase announced the pilot launch of a deposit token called JPMD, deployed on the Base blockchain supported by Coinbase. Initially, this token will only be available to institutional clients of JPMorgan Chase, and will gradually expand to a broader user base and more currencies after receiving regulatory approval in the United States.
This is the first time Wall Street giants have issued traditional bank deposits directly on-chain, marking a key step in the deep integration of traditional finance and the decentralized world. JPMD is a 'licensed deposit token' that corresponds 1:1 to JPMorgan Chase's dollar deposits, supports 24-hour real-time transfers, with transaction costs as low as $0.01, and enjoys traditional financial protections such as deposit insurance and interest.
Compared to existing stablecoins, JPMD has stronger regulatory compliance and trust backing, and is expected to bring unprecedented amounts of capital and institutional liquidity to the Base chain. Naveen Mallela, head of JPM Blockchain, stated: 'This is not about embracing crypto, but redefining banking.'
Looking at the entire US banking industry, the speed at which stablecoins are entering and moving on-chain far exceeds the most optimistic expectations within the crypto circle. A genuine wave of financial transformation has already arrived.
'The green light is on,' can traditional banks now buy Bitcoin?
'The green light is on, traditional finance is rapidly entering the field. The barriers between banks and cryptocurrencies are collapsing. This is very favorable for cryptocurrencies.'
As Merlijn, the founder of Profitz Academy, noted, on July 14, the three major US bank regulators — the Federal Reserve, FDIC, and OCC — jointly issued a statement requiring banks to establish comprehensive risk governance systems in key areas such as key management, asset selection, cybersecurity, audit supervision, third-party custody, and compliance risk control when providing related services.
Although no new regulations have been established, this guidance systematically clarifies the expectations of regulators for crypto custody services for the first time. Crypto finance is transitioning from a 'gray experimental field' to 'regulatory compliance,' and traditional finance is no longer watching from the sidelines.
This signal quickly sparked a market response. Wall Street giants rushed to disclose their latest developments in stablecoins and other cryptocurrency businesses, trying to seize the opportunity in the new round of financial infrastructure reconstruction. Meanwhile, crypto-native institutions like Circle and Ripple are also actively promoting compliance processes, aiming to solidify their market position as the global regulatory framework gradually takes shape.
This also means that the boundaries between future banks, crypto asset management, and trading platforms are beginning to blur. Traditional banks are even directly 'seizing' market share from crypto asset management and trading platforms.
The crypto melee between traditional banks and native asset management.
On July 15, Standard Chartered Bank announced that it would provide spot trading services for Bitcoin and Ethereum to its institutional clients, becoming the first systemically important bank (G-SIBs) to do so globally. The business will initially launch in London, Hong Kong, and Frankfurt, covering Asia and Europe initially, with plans to operate 24/5 continuously in the future, directly integrating with traditional forex platforms. Corporate clients and asset management companies will no longer need to jump through hoops or set up offshore accounts; they can buy and sell Bitcoin and Ethereum directly as easily as trading forex, with settlement and custody services optionally provided by either in-house or third-party services.
In fact, Standard Chartered Bank laid out its digital asset custody and trading plans several years ago through Zodia Custody and Zodia Markets. This time, it is merely making its accumulated expertise public. Standard Chartered's global digital asset head Rene Michau made it clear: the spot crypto business will first push BTC and ETH, and will expand to more crypto products in the future, including forwards, structured products, and non-deliverable contracts, directly mirroring the business lines of crypto trading platforms.
At the same time, JPMorgan Chase, Bank of America, and others are also preparing to launch cryptocurrency custody and related services. What you once thought impossible is now an established fact. Twelve months ago, you were still questioning 'Will JPMorgan Chase custody Bitcoin?' Now the only question left is 'Which bank will seize the largest share first?'
Equally noteworthy are the 'new type banks' — such as Revolut in London, which largely relies on crypto trading for income and has long-term goals of applying for a US domestic bank license to fully enter the mainstream financial ecosystem.
Peter Thiel's ambition: to create a new Silicon Valley Bank.
In addition to asset custody and seizing market share in crypto-native asset management and trading platforms, Wall Street's ambitious players have also found new entry points in account services and credit support.
Several mainstream financial media outlets have confirmed: Peter Thiel is collaborating with tech tycoons Palmer Luckey and Joe Lonsdale to jointly launch a new bank called Erebor, and has officially applied for the national bank license from the OCC. This bank's target customers are precisely the 'cryptocurrencies, AI, defense, and manufacturing startups that mainstream banks are unwilling to serve,' attempting to become an alternative after the collapse of Silicon Valley Bank.
The founders of this bank also have a distinct 'Silicon Valley political capital crossover' feature: Peter Thiel (co-founder of PayPal and Palantir, head of Founders Fund), Palmer Luckey (founder of Oculus, co-founder of Anduril), Joe Lonsdale (co-founder of Palantir, founder of 8VC). All three are significant political donors to Trump in the 2024 US presidential election and are closely linked to the current Congress's promotion of the GENIUS Act.
According to the application documents submitted by Erebor to the OCC, Founders Fund will participate as the main capital supporter, while the three founders will not participate in daily management, only intervening in the governance structure as directors. The bank's management will be composed of former Circle advisors and the CEO of compliance software company Aer Compliance, aiming to clearly delineate political and operational boundaries and emphasize its positioning as an institutionalized financial institution.
Learning from the lessons of Silicon Valley Bank, Erebor has clearly proposed to implement a 1:1 reserve requirement for deposits and keep the loan/deposit ratio below 50% to prevent maturity mismatches and credit expansion from the source. Its application documents indicate that stablecoin services are one of the bank's core businesses, planning to support the custody, minting, and redemption of compliant stablecoins like USDC, DAI, and RLUSD, aiming to build the 'most comprehensively regulated stablecoin trading institution' and provide legal and compliant fiat entry and exit channels and on-chain asset services for enterprises.
Its customer profile is also precise: targeting innovative enterprises in virtual currency, artificial intelligence, defense technology, and high-end manufacturing that traditional banks view as 'high risk,' as well as their employees and investors; it also serves 'international clients' — those who find it difficult to enter the dollar financial system, rely on dollar clearing, or wish to reduce cross-border transaction costs using stablecoins. Erebor plans to act as a super interface connecting these enterprises to the dollar system by establishing 'agent bank relationships.'
Its business model also has a strong crypto-native color: deposit and loan services are collateralized by Bitcoin and Ethereum, without involving traditional mortgage or auto loans; at the same time, it holds a small amount of BTC and ETH on its balance sheet for operational needs (such as paying gas fees), without participating in speculative trading. Notably, Erebor has also clarified its regulatory boundaries: it does not provide asset custody services requiring a trust license and only offers on-chain fund settlement without directly holding user assets.
In short, this is an advanced version of Silicon Valley Bank, and with various crypto-friendly policies driving it, Erebor is likely to strive to become one of the first 'dollar relay banks' to custody compliant stablecoins like USDC and RLUSD, providing a federal clearing path for stablecoins.
National Bank Charter, the future of crypto banks.
With the stablecoin bill settled and the green light shining brightly in Washington, it is clear to everyone that the next ranking competition among Wall Street bankers has quietly begun.
The 'National Trust Bank Charter' is an important focal point in this ranking competition. It is one of the 'ceiling-level' licenses in the US financial system and the most realistic path for all crypto asset, institutional custody, and stablecoin companies to enter the mainstream financial system.
The US banking system consists of three core federal licenses: National Bank, Federal Savings Association (FSA), and National Trust Bank. The first two are traditional banks and savings associations with a long history, high licensing barriers, and outrageous thresholds. The National Trust Bank license is specifically designed for trusts, custodianship, pensions, etc., aligning perfectly with new players in the crypto space looking for compliant 'holding' solutions.
Its value is even higher than most people imagine. First, the National Trust Bank license is equivalent to an interstate pass; once this license is obtained, businesses can operate in all 50 states without having to apply state by state. In addition, this license allows licensed institutions to provide a variety of financial services such as institutional-level asset custody, digital currency custody, corporate trust, and pension management. While it cannot accept retail deposits or make loans, this aligns perfectly with the 'urgent needs' of crypto custodians — what everyone wants is asset security and a title of legal custody and compliance.
More importantly, this is a license directly issued by the Office of the Comptroller of the Currency (OCC), belonging to the federal level of bank licenses. With this license, crypto companies can apply to access the Federal Reserve's payment and clearing system, greatly enhancing liquidity and settlement efficiency.
Anchorage Digital: The first crypto custody bank to take the plunge.
The first crypto asset manager to take the plunge is Anchorage Digital.
Anchorage Digital was founded in 2017 and is headquartered in California. It is a fintech company specializing in 'digital asset custody' services, providing secure and compliant digital asset storage and custody services for institutional clients (such as funds, family offices, and trading platforms).
Before 2020, crypto asset companies could only conduct custody business through state-level trust licenses (such as New York BitLicense, South Dakota trust licenses), which had significant limitations in scope and reputation.
However, in 2020, the OCC welcomed a 'crypto ally' — former Coinbase executive Brian Brooks took the lead. After taking office, he explicitly stated for the first time: he welcomes innovative digital asset companies to apply for federal bank licenses. Anchorage seized the opportunity, rushing in to submit applications with dozens of documents and hundreds of pages of materials, detailing KYC/AML, compliance, technological risk control, and management structure. On January 13, 2021, the OCC announced approval, and Anchorage Digital Bank National Association officially launched — this is the first truly compliant digital asset national trust bank in the US.
After becoming the first 'federally certified' crypto custody bank in US history, Anchorage Digital's status soared, being regarded as a Wall Street-level institutional custodian for digital assets for multiple asset management institutions and consortiums such as BlackRock and Cantor Fitzgerald.
Unfortunately, the good times did not last long; policy directions changed abruptly. The OCC changed leadership, regulatory tightening occurred, and new applications for digital asset trusts were essentially 'stuck' overnight. Anchorage became the sole survivor, and this track was directly 'frozen' for more than three years.
Until now, with Trump in power and pro-crypto factions at the helm, a pro-crypto official from the Trump administration, Jonathan Gould, was appointed as the temporary head of the OCC, reversing some of Biden's era 'banking guidelines' for the crypto industry.
At the beginning of this month, the newly appointed OCC head Jonathan Gould, who previously served as Chief Legal Officer at blockchain infrastructure company Bitfury, has expertise in business, law, and regulation. His appointment has made the market keenly feel that the federal compliance window has slightly reopened. Entrepreneurs, funds, and project parties in the industry have already begun to 'stir,' waiting for a new round of license approvals.
The ultimate game is to connect to the Federal Reserve's clearing system.
For the crypto circle, merely having a 'National Trust Bank license' is not impressive; what truly makes everyone envious is 'access to the Federal Reserve's clearing system' — that legendary 'Master Account.'
For the crypto industry, this is a greater temptation.
Directly settling, clearing, transferring, and depositing with the Federal Reserve without relying on third-party large banks. For crypto companies, as long as they obtain master account qualifications and place their stablecoin reserves directly in the central bank, it is equivalent to thoroughly opening up US financial infrastructure, no longer being regarded as 'outsiders' or 'second-class citizens,' but as legitimate forces backed by the US financial system.
Everyone in the industry understands that this is the true meaning of 'legitimization,' transforming from being seen as an outsider and second-class citizen by the banking system to being recognized as a legitimate force in the US financial system. Thus, crypto stars like Circle, Ripple, Anchorage, and Paxos are all working to secure federal trust bank licenses while fiercely pursuing master account approvals.
However, due to concerns from the Federal Reserve about potential abuse of the 'master account' by crypto companies, which could pose financial stability risks (for example, a sudden large-scale liquidation of risk assets affecting system liquidity), as well as regulatory challenges related to money laundering, illicit fund flows, and technical security, no purely crypto company has ever been approved for a Federal Reserve master account. Even Anchorage, which was the first to 'take the plunge,' has not received approval for a master account despite securing a federal trust bank license.
So who else is still trying to obtain a bank license?
Circle submitted materials at the end of June 2025, planning to establish a new bank called First National Digital Currency Bank, N.A. to directly custody USDC reserves and provide institutional-level custody services.
Following closely, Ripple also officially announced its application to the OCC in early July, simultaneously applying for a federal master account, aiming to place its stablecoin RLUSD reserves directly in the central bank system, taking a very aggressive stance.
Established custody company BitGo is also not falling behind and is waiting for OCC approval. According to public information, BitGo is one of the designated service providers for 'Trump USD1' reserve custody.
In addition to these three most representative 'regular army' crypto companies, Wise (formerly TransferWise) has also submitted a license application positioned as a non-deposit custody bank. Tech newcomers like Erebor Bank are directly announcing that they intend to include AI, crypto, defense, and other new economic industries within their service radius. The first generation blockchain bank, First Blockchain Bank and Trust, had previously tested the waters during Biden's term but quietly withdrew when the regulatory window was too tight. Fidelity Digital Assets is also rumored to be planning to submit materials, but the official confirmation is still pending.
Circle, Ripple, and BitGo can bypass state-level compliance, race to secure this license, and even potentially gain access to the Federal Reserve's master account — once secured, stablecoin dollar reserves can be deposited into the central bank's treasury, and their custody and clearing capabilities can directly compete with traditional Wall Street giants.
It seems that regulators have always had mixed feelings about crypto companies wanting to become banks: they are both eager and cautious. On one hand, personnel changes at the OCC and warming policies have indeed opened a 'window' for crypto companies; on the other hand, these licenses do not equate to full banking license capabilities and still cannot accept demand deposits or make loans.
A new window has opened, but the threshold has not lowered. Who can be the first to knock on the door of the Federal Reserve? This will be the most exciting game between Wall Street bankers and crypto moguls in the second half, with the winner potentially rewriting the financial landscape for the next decade.
For the crypto industry, stablecoins have officially landed, banks have officially opened their doors, and the previously parallel worlds of crypto and Wall Street have finally achieved 'convergence' under regulatory sunlight. Once repeatedly debated by regulators, banks, and capital markets, crypto assets are now stepping into the daily accounts of every American and the balance sheets of every global financial institution as 'mainstream assets.'
