According to a report by CoinDesk on Friday, Payward, the parent company of cryptocurrency exchange Kraken, has applied to the U.S. Office of the Comptroller of the Currency (OCC) for a national trust company charter, aiming to expand its regulated digital asset custody business.
If approved, the charter will establish Payward National Trust Company (PNTC), a federally regulated entity focused on trust custody and related services for digital assets. Kraken states that the trust will primarily serve institutions and clients seeking bank-grade custody protection under OCC supervision.
As cryptocurrency companies increasingly seek traditional financial licenses to attract institutional clients and navigate an evolving regulatory landscape, Payward’s filing marks its latest effort to expand its regulatory footprint in the United States.
Arjun Sethi, Co-CEO of Payward and Kraken, stated in a statement: "A national trust company can provide the certainty institutions require and build the infrastructure for next-generation custody services."
This comes as cryptocurrency companies increasingly seek federal charters, licenses, and bank approvals, while the Trump administration has adopted more industry-friendly measures toward digital asset regulation.
Kraken's broader expansion strategy includes a series of acquisitions aimed at building regulated trading and payment infrastructure to prepare for upcoming challenges. Potential initial public offering.
In addition to its $1.5 billion acquisition of the retail futures platform NinjaTrader, Payward agreed in April 2025 to acquire the crypto derivatives exchange Bitnomial for up to $550 million, along with obtaining a full set of Commodity Futures Trading Commission (CFTC) licenses covering brokerage, clearing, and exchange operations.
This week, the company also reached a $600 million acquisition agreement. Reap Technologies, a Hong Kong-based payment company further expands Kraken’s footprint in Asia’s stablecoin-based cross-border payments and card infrastructure.
The proposed trust company will complement Kraken Financial, a special purpose deposit institution (SPDI) established in Wyoming in 2020. Kraken Financial became the first digital asset bank. Securing a Federal Reserve master account enables direct access to the U.S. payment system.
Payward views OCC's application as part of a broader "multi-charter" strategy aimed at offering various types of regulated financial services under state and federal regulation.
Under this proposal, PNTC will leverage Payward’s existing compliance, risk management, and custody infrastructure while expanding access to qualified custodians requiring federal regulation.
As regulators increasingly clarify rules regarding digital asset custody and institutional participation, cryptocurrency companies are increasingly seeking bank and trust charters. Previously, some crypto-native companies have applied for nationally chartered trust charters regulated by the U.S. Office of the Comptroller of the Currency (OCC) to gain broader legitimacy and operate nationwide without relying solely on state-level licenses.
Sethi said that as the U.S. digital asset regulatory framework continues to evolve, the company’s SPDI in Wyoming and its upcoming OCC trust charter will serve as “complementary pillars” of Payward Bank’s strategy.