Blockchain company Ripple has formally applied for a U.S. national banking license from the Office of the Comptroller of the Currency (OCC). The primary goal of this application is to bring its RLUSD stablecoin under direct federal regulatory oversight.
If the OCC approves this license, RLUSD would operate under a combined regulatory regime. It would continue to be subject to oversight by the New York Department of Financial Services (NYDFS), at the state level, while also adhering to stringent federal banking requirements. This dual oversight framework is anticipated to significantly bolster institutional and consumer trust in RLUSD.
The application for a national banking license reflects Ripple’s strategic intent to strengthen regulatory confidence as RLUSD works to gain broader market traction. Despite experiencing a recent trading volume decrease, RLUSD has maintained its price stability near the $1.00 peg threshold. Its current market capitalization sits at approximately $469 million.
Ripple’s pursuit of a federal banking license aligns with an industry-wide trend exploring enhanced regulatory frameworks. A national charter could provide a competitive edge within the cryptocurrency sector. Other major industry players, including Circle and Coinbase, are actively observing Ripple’s progress, recognizing that the success of this dual-regulation model could potentially influence stablecoin practices and standards across the wider market.