Banks Sue OCC Over Crypto Charters as Tom Lee Predicts $10K Ethereum
The Independent Community Bankers of America (ICBA) has filed a lawsuit against the Office of the Comptroller of the Currency (OCC) over its national trust bank charter framework, which allows crypto companies to enter the banking system. The lawsuit, filed on October 2 in federal court, challenges the OCC’s 2026 chartering rule and its 2021 Interpretive Letter 1176, arguing that these policies permit national trust banks to engage in activities beyond traditional fiduciary services. ICBA specifically targets Protego’s approval and seeks to overturn the policies, with ICBA President and CEO Rebeca Romero Rainey stating that the OCC’s approach 'exceeds the authority Congress granted the agency.'
The lawsuit could have broader implications for crypto companies like Coinbase and Circle, as it challenges the regulatory framework that allows them to access national trust bank charters. ICBA previously campaigned against Coinbase’s application, questioning its oversight structure and potential financial risks. While Coinbase and Circle are not defendants in the lawsuit, a decision striking down the OCC’s policies could limit the regulator’s ability to approve similar crypto trust charters in the future.
Meanwhile, the defeat of the CLARITY Act in the Senate has heightened the stakes for regulatory clarity in the crypto industry. The bill aimed to establish oversight divisions between the Securities and Exchange Commission and the Commodity Futures Trading Commission, but its failure has left agency decisions as the primary source of guidance for companies seeking clearer operating rules.
In other news, Tom Lee, co-founder of Fundstrat, has reiterated his bullish forecast for Ethereum, predicting that it could reach $10,000. On October 5, Lee backed a post arguing that investors waiting for a price drop would miss out on a rally to $10,000. Additionally, Citi has raised its 12-month base-case target for Bitcoin to $113,000, with a bull scenario exceeding $150,000. Citi’s strategists cited stronger activity and potential regulatory progress as key factors in their optimistic outlook.