Agora Wins Preliminary OCC Approval to Launch U.S. National Trust Bank

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Agora has won preliminary conditional approval from the OCC to open a U.S. national trust bank, a move that may stir interest in altcoins to watch. The bank, if fully approved, will manage stablecoin operations, custody, and transaction services under OCC capital and governance rules. Agora’s AUSD is issued via Agora Bermuda, backed by U.S. Treasuries and other liquid assets. The proposed bank will also offer fiduciary services to institutions, separately from its Bermuda unit. With 40 charter applications in 2024, including 23 from digital asset firms, the crypto sector remains in a bullish phase, as indicated by the fear and greed index.

Agora has received preliminary conditional approval from the Office of the Comptroller of the Currency to establish a national trust bank in the U.S., moving the stablecoin company closer to bringing some of its operations under federal oversight.

The proposed bank would handle parts of Agora’s stablecoin, custody and transaction businesses, but it cannot begin operating until the company meets conditions set by the OCC. Those requirements include capital, liquidity and governance standards.

Agora’s Proposed Banking Structure

Agora issues AUSD through Agora Bermuda Limited under Bermuda’s digital-asset rules. The stablecoin is backed by short-term U.S. Treasuries and other liquid assets.

Related: Circle Adds BTC-Backed Borrowing Through Onchain Lending Markets

The proposed bank would also provide fiduciary investment advisory services to institutional clients. Agora would therefore keep the new U.S. bank separate from its existing Bermuda entity rather than replace the company’s current issuer.

Digital Asset Banking Expands

The approval comes as more crypto companies seek national trust charters to bring parts of their businesses under federal oversight. Block has also sought approval for Builders Bank & Trust, which would focus on Bitcoin and stablecoin custody.

The OCC lists applications from Payward, Catena Trust Bank and EDX Trust. Comptroller Jonathan Gould said the agency has received 40 charter applications since President Donald Trump took office, including 23 tied to digital assets.

Agora still needs to meet conditions set by the OCC before it can receive final authorization to open the bank.

Related: Crypto ICOs Left in Limbo After CLARITY Act Fails in Senate

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