Jack Dorsey’s Block Applies for OCC National Trust Bank Charter for Crypto Custody

The fintech firm joins a growing wave of companies seeking federal bank charters to hold Bitcoin and stablecoins directly.

Jack Dorsey's Block has submitted an application to the Office of the Comptroller of the Currency for a national trust bank charter, according to reporting from The Block, CryptoBriefing, and crypto.news. The proposed charter would let Block establish a federally regulated trust bank focused on custody services for Bitcoin and stablecoins.

A national trust bank charter differs from a full commercial banking license. It does not permit traditional lending or deposit-taking in the retail sense. Instead, it allows a company to hold digital assets on behalf of clients under a federal regulatory framework rather than a patchwork of state-level licenses.

Block's filing arrives amid a broader push by fintech and crypto firms toward federal charters. Several companies have approached the OCC in recent months seeking similar approvals. The trend reflects an industry-wide effort to secure clearer regulatory standing for digital asset custody as the sector matures.

For a company like Block, which operates payment platforms including Cash App and Square, a trust bank charter would formalize how it manages Bitcoin holdings and stablecoin reserves for customers. Custody has become a central concern for regulators and institutional users alike. Direct federal oversight could reduce reliance on third-party custodians.

The OCC has authority to grant national trust charters to companies whose business centers on fiduciary activities, including asset custody. Approval is not automatic. The agency reviews applicants for capital adequacy, management structure, and risk controls before issuing a charter.

Block has not disclosed a timeline for when the OCC might rule on its application. The agency's review process for similar charters has historically taken months, and outcomes are not guaranteed. Other applicants in the current wave of filings face comparable uncertainty.

The move also reflects Dorsey's long-standing interest in Bitcoin infrastructure. Block has previously built products aimed at expanding Bitcoin accessibility and custody solutions. A federal trust charter would extend that strategy into a more formally regulated structure.

Market Impact

A federal trust bank charter would give Block a more standardized regulatory footing for its Bitcoin and stablecoin custody operations, potentially strengthening confidence among institutional partners. It would also reduce the company's need to navigate separate state trust or money transmitter licenses for custody functions.

The broader wave of OCC charter applications signals that crypto-adjacent firms increasingly see federal bank status as a competitive necessity rather than an option. If regulators approve multiple charters in this cycle, it could accelerate consolidation of custody services under nationally chartered entities, reshaping how institutional and retail crypto holdings are safeguarded across the industry.

Block's OCC filing marks another step in the fintech sector's push toward federal recognition for digital asset custody. Whether the charter is granted will depend on the agency's review, with no confirmed timeline yet available.

Frequently Asked Questions

What is a national trust bank charter?

It is a federal license granted by the OCC allowing a company to conduct fiduciary activities, such as asset custody, without traditional lending or deposit-taking functions.

Why is Block seeking this charter?

According to reporting, Block wants to establish a federally regulated bank to custody Bitcoin and stablecoins for its customers, replacing reliance on state-level licenses or third parties.

Is Block the only company applying for such a charter?

No. Reporting indicates multiple fintech and crypto firms have recently filed similar applications with the OCC as part of a broader industry trend.

When will the OCC decide on Block's application?

No timeline has been disclosed. OCC reviews for comparable charters have historically taken several months, and approval is not guaranteed.