U.S. Regulation

Crypto giants Circle and Coinbase Reportedly Eye US Banking Licenses Amid Regulatory Shift

A growing number of leading crypto firms, including Circle, Coinbase, BitGo, and Paxos, are reportedly preparing to apply for banking licenses in the United States. According to sources cited by The Wall Street Journal, the firms are leveraging a wave of pro-crypto sentiment in Washington to advance their long-term plans.
The report noted that each company is exploring different types of licenses depending on its business model. Some are pursuing national trust or industrial bank charters, allowing them to operate similarly to traditional banks. Others are targeting more limited licenses focused on stablecoin issuance and custody services. This shift marks a dramatic reversal from the past few years, when the relationship between the crypto sector and traditional banks was fraught with tension.
Financial regulators like the FDIC warned banking institutions to avoid crypto-related entities during that period, leading to widespread de-banking across the industry. The license push could close that gap, allowing closer collaboration between crypto firms and the financial system. In a parallel move, major global banks are also preparing to expand their crypto services into the US market.
WSJ noted that Deutsche Bank and Standard Chartered, both of which have built out crypto-related operations overseas, are now exploring opportunities to enter the American landscape. The institutions, which once distanced themselves from crypto, are now showing renewed interest thanks to growing regulatory clarity. Sources say the banks are evaluating ways to extend their crypto services to US-based clients.
The developments can be linked to the Trump administration’s pro-crypto stance, which has prompted renewed crypto engagement with US lawmakers and regulators. President Trump’s policies have made it clear that digital assets should be part of the country’s financial future, and this direction has already produced an impact on Capitol Hill.
As a result, financial regulators like the US Securities and Exchange Commission (SEC) are reviewing existing regulatory guidance to attract more participants to the sector. These efforts aim to eliminate ambiguity and establish a more predictable legal framework that would allow the industry to thrive.
Terron Gold

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