Coinbase Applies for US Banking License, Joining Growing Pack of Crypto Firms

America’s biggest crypto exchange Coinbase became the latest company in the digital asset space to apply to the Office of the Comptroller of Currency (OCC) for a national trust charter.

The public company announced the move on Friday, following in the footsteps of stablecoin issuers Circle and Paxos, and fintech Ripple.

If approved, Coinbase said it would be able to faster offer products and services, and further innovate “to integrate digital assets into traditional finance,” the company said. The license allows companies—that aren’t banks—to oversee their own reserves and take custody of assets for institutions.

“Coinbase has no intention of becoming a bank,” the exchange said. “It is our firm belief that clear rules and the trust of our regulators and customers enable Coinbase to confidently innovate while ensuring proper oversight and security.”

“If approved, the charter would continue to open up opportunities for Coinbase to launch new products beyond custody, including payments and related services, with the confidence of regulatory clarity, fostering broader institutional adoption,” the company added.

Coinbase did not immediately respond to Decrypt‘s questions. 

Crypto platform Anchorage Digital was the first digital assets firm to receive an OCC charter back in 2021. This year, Circle, which issues the USDC stablecoin, and Paxos, which issues tokens PYUSD and PAXG, applied for the license. RLUSD stablecoin issuer Ripple has also applied for a charter.

San Francisco, California-based Coinbase is pushing deeper into the traditional finance world. In July, it signed a deal with JPMorganChase, aiming to allow customers to buy crypto quicker and easier than before.

Coinbase went public in 2021 and has a contract with the U.S. Marshals Service—part of the Department of Justice—to manage and dispose of seized digital assets like Bitcoin. The company also custodies Bitcoin for the crypto ETF products released by top asset managers BlackRock and Fidelity.

Editor’s note: This story was updated after publication with additional details.