Bridge Secures Conditional Approval for National Trust Bank
Bridge recently announced that it has received conditional approval from the U.S. Office of the Comptroller of the Currency (OCC) to establish a national trust bank. This would enable the issuance of stablecoins, custody of digital assets, and management of reserve assets directly under federal oversight.
A Strategic Move for Stripe's Blockchain Vision
Since Stripe acquired Bridge in 2024 for $1.1 billion, this approval marks a significant milestone in the company's strategic push into blockchain-based payments. Bridge emphasized that the decision allows it to build digital dollar solutions for enterprises, fintechs, crypto firms, and traditional financial institutions within a federal regulatory framework.
Alignment with the GENIUS Act Compliance
Bridge noted that its systems are aligned with the compliance standards set by the GENIUS Act, passed in the previous year. Although the OCC, Federal Reserve, and FDIC have not yet finalized the implementation rules for the Act, the process is moving forward.
Part of a Broader Trend Toward Federal Oversight
Bridge joins a growing list of firms aiming to develop stablecoin products under federal oversight. In December 2023, Circle, Ripple, Paxos, Fidelity Digital Assets, and BitGo received similar conditional approvals from the OCC. Erebor Bank also secured a conditional national bank charter in October of the same year. Bridge submitted its application in October 2023 and was approved last week, according to OCC records.
Bridge's Role in Stablecoin Issuance
Currently, Bridge provides stablecoin issuance support for products like Phantom's CASH and MetaMask's mUSD via Stripe's Open Issuance platform. However, the OCC has not yet announced a timeline for final approval, leaving room for further developments in Bridge's roadmap.