American Bankers Association Urges Regulators to Slow Down Approval of Crypto Banking Licenses

Odaily News The American Bankers Association (ABA) stated in a comment letter to the Office of the Comptroller of the Currency (OCC) that the approval process for crypto-related banking licenses should be slowed down until the regulatory framework for stablecoin and digital asset businesses is clarified. It also emphasized ensuring that safety and soundness standards are fully understood and implemented. Additionally, the association recommended prohibiting non-bank trust companies from using the term "bank" to avoid misleading the market. The banking organization pointed out that the OCC currently links license approvals to compliance with the GENIUS Act, but comprehensive implementation of this act may still take several years and involves rulemaking by multiple regulatory agencies. It is reported that crypto companies such as Circle, Ripple, BitGo, Paxos, Coinbase, and Nomura's Laser Digital are applying for or have already obtained conditional OCC trust bank licenses. Furthermore, World Liberty Financial, associated with Trump, has also applied for a license covering its USD1 stablecoin. (Decrypt)