Ripple Applies for US Bank License as Crypto Firms Seek Approval

Ripple Labs is applying for a banking license in the US as more crypto companies look to work closely with the traditional financial system.

Ripple Joins Circle in Applying for US Banking License

The Ripple CEO, Brad Garlinghouse, announced on X that the company is seeking a national bank charter from the US Office of the Comptroller of the Currency (OCC).

Garlinghouse stated.“Ripple is applying for a national bank license to stay true to our strong focus on compliance.”

If approved, the license will bring Ripple under both federal and state supervision. Its Ripple USD (RLUSD) stablecoin is already regulated by New York state.

Ripple’s move comes just two days after Circle, the company behind USDC, the second-largest stablecoin, also made an application for a similar banking license with the OCC.

The timing also follows the US Senate’s approval of the GENIUS Act, a bill that introduces new rules for stablecoins and gives the OCC authority over large issuers.

According to Circle CEO Jeremy Allaire, the company wants to stay ahead of regulations and ensure its stablecoin operations meet US standards. Currently, Anchorage Digital is the only crypto firm with a national bank license.

Ripple Seeks Fed Account as XRP Price Rises 3%

Meanwhile, Ripple has applied for a Master Account with the Federal Reserve, which would give it direct access to the US banking system and allow it to hold RLUSD stablecoin reserves with the Fed.

In addition, CEO Brad Garlinghouse said this move adds security and builds trust in RLUSD. The application comes as US lawmakers work on clearer crypto rules and banks become more open to the industry.

XRP has risen 3.2% to trade at $2.24, on a 12% surge in daily trading volume to $4.03 billion. The market capitalization stands at $134 billion.