• OCC says large banks debanked lawful businesses from 2020–2023, including crypto, largely over reputational concerns.
• Review finds no coordinated anti-crypto directive, placing debanking within bank discretion during the crypto winter period.
• New OCC approvals show federal access expanding for compliant crypto firms, weakening claims of ongoing exclusion.

The OCC today conditionally approved five digital asset-oriented companies for national trust bank charters, signaling a measured but tangible expansion of crypto firms into the federal banking system.

The decision challenges claims from parts of the banking industry that crypto cannot comply with regulatory standards. However, it also complicates the sector’s own narrative of a coordinated effort to cut it off from financial services.

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The Five Firms Behind Approval

Alongside Ripple National Trust Bank, the Office of the Comptroller of the Currency (OCC) conditionally approved four additional digital asset-focused institutions, signaling a broader regulatory move rather than an isolated exception.

In addition to Ripple, the OCC approved a de novo trust bank application for First National Digital Currency Bank and authorized Circle, BitGo, Fidelity Digital Assets, and Paxos to convert from state charters.

All five approvals remain conditional, requiring each institution to meet specific operational, governance, and compliance standards before final authorization.

“New entrants into the federal banking sector are good for consumers, the banking industry and the economy,” said OCC Comptroller Jonathan Gould in a press release. “They provide access to new products, services and sources of credit to consumers, and ensure a dynamic, competitive and diverse banking system.”

The unifying factor across these firms is their business model and regulatory positioning within the financial system.

None of them intends to operate as a full-service commercial bank offering deposits or traditional lending products. Instead, they focus on custody, settlement, and digital asset infrastructure designed primarily for institutional clients.

For established players like Fidelity and Paxos, a national charter provides a single federal supervisor and nationwide authority. That shift replaces fragmented state-level oversight, simplifying regulatory engagement for institutional-scale operations.

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For newer entrants such as Ripple National Trust Bank and First National Digital Currency Bank, the approvals open federal access without consumer banking exposure.

Taken together, the approvals suggest the OCC is not blocking crypto firms, but refining which models gain entry.

The Debanking Dispute Explained

The debate over crypto “debanking” has intensified over recent years, often framed as a standoff between regulators, banks, and digital asset firms.

Crypto industry leaders have repeatedly argued that banks, encouraged by regulators, systematically restricted access to basic financial services. This narrative gained traction under the label “Operation Choke Point 2.0,” drawing comparisons to past regulatory crackdowns closely attributed to former SEC Chair Gary Gensler.

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Banks and regulators pushed back, arguing they made decisions based on risk management, compliance, and reputational concerns rather than ideology.

Those tensions resurfaced on Wednesday, when the OCC released preliminary findings from its review of alleged debanking by the largest US banks.

Debanking Was Real, But Limited

In its December 10 review, the OCC concluded that between 2020 and 2023, the nation’s largest banks engaged in debanking practices. 

The agency said banks made inappropriate distinctions among lawful businesses, restricting access or imposing heightened reviews driven by reputational concerns.

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Digital asset activities were explicitly listed among the affected sectors, alongside firearms, energy, adult entertainment, and payday lending. 

However, the OCC’s framing is narrower than the industry’s “Operation Choke Point 2.0” rhetoric. The report focuses on bank-created policies and escalation processes, not a centralized directive ordering banks to cut off crypto firms. 

 That distinction matters for how this newly unfolding debate is interpreted.

Much of the period under review overlaps with the 2022–2023 crypto downturn and its spillover into banking. 

The review was released under Gould, who was appointed earlier this year by President Donald Trump. Gould framed the findings as part of an effort to limit “weaponized” finance and reputational-risk-driven exclusions.

Against that backdrop, the OCC’s conditional approvals for five crypto-oriented trust banks complicate claims of ongoing systemic exclusion. 

Even as banks and trade groups warn of regulatory asymmetry, the approvals indicate that federal access is expanding for compliance-focused trust bank models.

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