BOSTON–Stablecoin issuer Circle Internet Group has applied for a national trust bank charter, part of a surge by various providers to get into formal banking as legislation moves forward in Congress that would create a framework for stablecoins.

If the Office of the Comptroller of the Currency grants the bank charter, Circle will establish the First National Digital Currency Bank, N.A.,” according to CNBC. “Under the charter, Circle, which issues the USDC stablecoin will also be able to offer custody services in the future to institutional clients for assets, which could include representations of stocks and bonds on a blockchain network.”

Meeting GENIUS Act Requirements

There are no plans to change the management of Circle’s USDC reserves, which are currently held with other major banks, according to the report, which added that Anchorage Digital is the only other crypto company to obtain such a license. 

Having a federally regulated trust charter would also help Circle meet requirements under the GENIUS Act, CNBC noted. 

“Establishing a national digital currency trust bank of this kind marks a significant milestone in our goal to build an internet financial system that is transparent, efficient and accessible,” Circle CEO Jeremy Allaire said in a statement shared with CNBC. “By applying for a national trust charter, Circle is taking proactive steps to further strengthen our USDC infrastructure.”