Ripple applies for U.S. banking license to strengthen legitimacy in preparation for stablecoin regulations

Ripple has followed Circle's lead and applied for a U.S. banking charter, making serious moves to strengthen ties with the existing financial system.
Ripple CEO Brad Garlinghouse announced through X on the 2nd (local time) that "Ripple has been approved by the Office of the Comptroller of the Currency (OCC)
"Based on our long tradition of regulatory compliance, we have applied for a national banking charter," he said, officially confirming a report from the Wall Street Journal.
"This will be a new milestone of trust in the stablecoin market," he said. If approved, Ripple will be subject to both federal and state oversight.
Ripple's dollar-backed stablecoin, RLUSD, which is currently regulated by the New York Department of Financial Services (NYDFS), will also be subject to the stronger regulatory framework.
Meanwhile, Ripple's move follows Circle, the issuer of the stablecoin USDC, filing an application to the OCC two days ago to set up a trust bank.
The move comes in response to the GENIUS Act, a bill to regulate stablecoins recently passed by the U.S. Senate.
The bill would require companies that want to issue dollar-pegged stablecoins to be subject to OCC oversight.
To date, Anchorage Digital is the only cryptocurrency company to have received a national banking charter from the OCC.