Circle, the stablecoin firm that held a successful IPO valuing it at nearly $18 billion (£13bn) last month, has said it is applying to create a national trust bank in a move that could mean a significant expansion of its role in offering cryptocurrency- and blockchain-based services.
The bank would manage some of Circle’s USDC stablecoin reserves as well as providing custody for assets such as stocks and bonds that are represented via a token on a blockchain network, Circle chief executive Jeremy Allaire told Reuters in an interview.
Circle said it is seeking a charter to form a bank called the First National Digital Currency Bank, N.A., from the US Office of the Comptroller of the Currency, Allaire said.
Crypto optimism
The bank would have the ability to act as custodian for Circle’s own reserves and to hold crypto assets on behalf of institutional clients, but not to take cash…
