Circle Obtains Final Approval from US OCC to Establish National Trust Bank... USDC Brought Under Federal Supervision

On July 10, 2026, Circle Internet Group, the issuer of the stablecoin USDC, obtained final approval from the U.S. Office of the Comptroller of the Currency (OCC) to establish a National Trust Bank. This decision is regarded as a historic milestone, bringing a digital asset issuer under the direct supervisory framework of federal banking regulators, and is expected to fundamentally reshape the landscape of digital asset custody and management.

By transferring digital asset custody operations to a federally regulated national trust bank, Circle is now under the management of the same primary regulatory authority that oversees general commercial banks. This signifies more than just a simple rebranding.

The operating name of the newly established institution will be 'Circle National Trust,' and its legal name has been confirmed as 'First National Digital Currency Bank, N.A.' Through this approval, Circle has secured the legal status to formally expand professional custody services targeting institutional investors.

Multi-Year Application Process and Regulatory Timeline

Circle's final approval comes after approximately a year of close regulatory review. Circle first applied for a bank charter in June 2025 and received conditional approval from the OCC on December 12 of the same year. Subsequently, Circle underwent a process to meet the operational requirements and security standards demanded by federal authorities, finally receiving notification of final approval on July 10, 2026.

• Establishment of a federal-level operational foundation for USDC infrastructure expansion
• Management of reserves under federal supervision at the same level as national banks
• Provision of digital asset custody and fiduciary services for institutional clients
• Enhancement of payment efficiency through direct integration with the federal banking system

The market responded immediately to the news of Circle's regulatory approval. Shares of Circle (CRCL), listed on Nasdaq, surged approximately 15% to $72.15 in pre-market trading on July 10, immediately following the announcement, compared to the previous day's closing price of $63.01. This represented a strong rebound from the three-month low recorded the previous day, increasing the company's market capitalization by more than $2 billion.

In particular, Ark Invest, led by Cathie Wood, showed strong confidence by purchasing an additional $13.7 million worth of Circle shares on the day the approval news broke. With this purchase, Ark Invest's total investment in Circle exceeded $37 million. Conversely, Ark Invest rebalanced its portfolio by selling approximately $9.8 million worth of Robinhood (HOOD) shares on the same day.

Strategic Shifts in the Stablecoin Market

Industry experts believe this approval will provide USDC with a significant strategic advantage over offshore competitors like Tether (USDT). This is because a structure subject to direct auditing by federal authorities serves as a strong attraction for institutional financial entities that value transparency and regulatory certainty. This is expected to contribute to expanding the market share of USDC, which currently ranks fifth in market capitalization at approximately $73 billion.

Through the establishment of this bank, Circle aims to place the entire reserve management operation backing USDC under the supervision of the OCC in the future. In an official announcement, Circle stated that the complete transfer of reserve management will be pursued in stages, and it currently plans to focus on custody services and infrastructure expansion.

In conclusion, this national trust bank approval is expected to be a significant case of a cryptocurrency company entering the core of the traditional U.S. financial system. Through this, Circle is expected to further solidify its role as a bridge between digital assets and fiat currency systems and present a new standard for stablecoins based on federal regulatory compliance.