February 12 News, the largest lobbying organization in the U.S. banking industry—the American Bankers Association (ABA)—has submitted a comment letter to the Office of the Comptroller of the Currency (OCC), urging it to slow down the approval process for cryptocurrency-related licenses until Congress finalizes rules for stablecoins and digital assets. The association warns that prematurely approving new digital asset institutions to enter the national banking system could pose potential risks to financial stability and resolution mechanisms.
Currently, institutions such as Circle, Ripple, BitGo, Paxos, and Laser Digital (a subsidiary of Nomura Securities) are applying for or already hold conditional trust bank licenses from the OCC. World Liberty Financial, associated with former President Trump, has also submitted an application covering its $1 stablecoin. The ABA believes that, in the absence of finalized rules under the GENIUS Act and related regulations, the OCC should not proceed with traditional approval timelines.
Anthony Agoshkov, co-founder of Marvel Capital, pointed out that once these institutions obtain federal-level settlement and access rights, they could bypass traditional intermediary systems and achieve native, regulated value transfer. This is seen as a critical threshold for cryptocurrencies to mainstream into finance but also raises structural concerns among traditional banks.
The ABA specifically criticized the OCC’s practice of linking charter approval to compliance with the GENIUS Act, stating that full implementation of the law will take years and involves rulemaking by multiple regulatory agencies. The organization also cited the 2022 collapses of FTX and Celsius, warning that new business models, if they fail, could exceed the current resolution framework’s capacity.
Additionally, the ABA advocates banning non-bank trust companies from using the term “bank” to prevent public misunderstanding of their risk profile. Controversies over stablecoin yields continue to ferment at the legislative level, with the latest draft including a clause prohibiting crypto companies from paying any interest to holders. This change prompted Brian Armstrong to publicly oppose the legislation, claiming it “may be worse than the current situation.”
This battle over crypto licenses and stablecoin regulation is reshaping the institutional boundaries of the U.S. digital finance sector.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
The U.S. Senate Banking Committee is scheduled to review the nomination of the U.S. Federal Reserve Chair, named Wash, on April 16.
The U.S. Senate Banking Committee will hold a hearing on April 16 to review Kevin Wosch’s nomination to serve as the Chair of the Federal Reserve. At the same time, the ongoing criminal investigation into the current Chair, Powell, may affect Wosch’s confirmation process. Committee members have said they will not vote to confirm before the investigation concludes, which could create a potential clash between two tracks of the Trump administration.
GateNews17h ago
U.S. March jobs smash expectations, with 178,000 added
In March, the U.S. added 178,000 jobs, recovering from February's losses and reducing the unemployment rate to 4.3%. The stronger-than-expected report may influence future interest rate decisions by the Fed amidst fluctuating oil prices.
CoinDesk17h ago
U.S. added 178k jobs in March, and Federal Reserve officials say low growth may become the new normal, but it is fragile amid wartime conditions
A Federal Reserve watcher said that the U.S. added 178k jobs in March, the unemployment rate fell to 4.3%, but wage growth slowed to the lowest level in five years. The average monthly number of new jobs was only 22.5k, the economic outlook is fragile, and inflation concerns may further limit the room for rate cuts.
GateNews17h ago
Market pricing shows expectations for Federal Reserve rate cuts in 2026 have fallen
Gate News, April 4, market pricing shows that bets on the Federal Reserve cutting rates in 2026 have eased.
GateNews17h ago
World Gold Council: In February, central banks in various countries net purchased 19 tons of gold; China continued to add to its holdings for the 16th straight month
The World Gold Council report shows that in February 2026, central banks in various countries net bought 19 tons of gold. Although this is below the 2025 average, it is up from January’s 5 tons. Central banks’ acceptance of gold continues to strengthen, with both the Czech Republic and China maintaining consecutive gold-buying records. Goldman Sachs and UBS predict that gold prices may rise in the future.
GateNews19h ago
The IMF urges the Bank of Japan to keep raising interest rates, saying that the Middle East war poses major new risks
The International Monetary Fund recommends that the Bank of Japan continue raising interest rates, despite new risks to Japan’s economy stemming from the Middle East war. Rising oil prices and yen depreciation have intensified inflation pressures. The IMF expects inflation to return to the 2% target in 2027 and emphasizes the importance of a flexible interest-rate policy.
GateNews22h ago
