Community Banks Take On OCC Over Crypto Charters
A lawsuit has been filed by the Independent Community Bankers of America (ICBA) against the Office of the Comptroller of the Currency (OCC) over the agency's decision to grant limited national trust bank charters to cryptocurrency companies.
The ICBA claims that the OCC's actions exceed the authority granted by Congress, allowing crypto firms to obtain the credibility of a US bank charter without the necessary safeguards or compliance with normal bank requirements.
The ICBA is asking the court to return the OCC to its statutory limits, arguing that the national trust charter was not intended as a 'side door' into the banking system for crypto firms.
The OCC has approved or conditionally approved multiple applications from crypto companies seeking trust charters, which do not allow companies to accept deposits or make loans, distinguishing them from conventional commercial banks.