Block Seeks Federally Chartered Bank to Secure Digital Asset Custody
Block, founded by Jack Dorsey, has filed an application with the Office of the Comptroller of the Currency (OCC) to establish Builders Bank & Trust, N.A., a federally chartered national trust bank focused on digital asset custody.
The proposed bank would hold Bitcoin and stablecoins in custody, without accepting customer deposits or issuing loans. This distinction is crucial, as it sets Builders Bank apart from traditional commercial banks like Chase.
Lee Woolley, Block's Digital Asset Strategy Lead with over 20 years of experience in traditional finance, is set to serve as the president and CEO of Builders Bank.
The application follows a familiar playbook in the industry: hire a regulatory veteran, file a clean application, and let the OCC process do the work. However, Block is not alone in this queue, with Circle, Ripple, Paxos, BitGo, and Fidelity Digital Assets having received conditional approvals in late 2025.
A single federal trust charter would simplify compliance for Block, which operates across all 50 states through Cash App and Square. This move could also place Block in the same regulatory tier as Circle and Fidelity, making it easier to win institutional custody mandates.