Dorsey's Block applies for federal bank charter to custody bitcoin and stablecoins

<p dir="ltr">Bitcoin showed only a modest reaction to the filing, easing from session highs near 78,900 dollars to lows around 78,000 dollars on September 8, a move too shallow to read as a clear market verdict. That restraint fits the nature of the news: a charter application signals intent, not regulatory approval, and traders have grown accustomed to a steady stream of OCC filings from crypto adjacent firms over the past year. The more market relevant catalyst remains a decision from the OCC itself, which has moved through Circle, Ripple, BitGo, Paxos and Revolut's applications on a broadly similar timeline. Until then, the filing is best read as reinforcing a structural narrative around institutional custody rather than a near term price driver.</p><p dir="ltr">---</p><p dir="ltr">Food for thought earlier:</p><ul><li><a href="https://investinglive.com/cryptocurrency/bitcoin-isn-t-a-weekend-hedge-it-s-just-the-only-market-still-open" rel="follow" target="_blank">Bitcoin isn't a weekend hedge, it's just the only market still open</a></li></ul><p dir="ltr">---</p><p dir="ltr"> Block wants federal permission to hold your bitcoin, not just process your payments, and it is racing a growing list of fintechs to get there first.</p><p dir="ltr"></p><p dir="ltr">Summary:</p><ul dir="ltr"><li>Block filed with the OCC for a national trust bank charter to establish Builders Bank & Trust, N.A.</li><li>The proposed bank would be uninsured and non-deposit-taking, unable to accept deposits or make loans</li><li>It would provide custody and fiduciary services for bitcoin and stablecoins under OCC supervision</li><li>Lee Woolley, Block's Digital Asset Strategy Lead, is expected to become president and CEO if the charter is granted</li><li>The filing, reported September 8, joins a wave of OCC crypto trust charters including Revolut, Coinbase, Paxos, BitGo, Ripple and Circle</li><li>Bitcoin traded in a narrow range that day, dipping modestly from highs near 78,900 dollars to lows around 78,000 dollars</li></ul><p dir="ltr"> Block Inc, the fintech company led by Jack Dorsey, has applied to the Office of the Comptroller of the Currency for a national trust bank charter that would allow it to offer custody and fiduciary services for bitcoin and stablecoins, according to Bloomberg.</p><p dir="ltr">The proposed entity, Builders Bank and Trust, N.A., would operate as an uninsured, non-deposit-taking national trust bank. Unlike a traditional retail or commercial bank, it would not accept deposits or make loans, a structure shared by the other crypto focused trust charters the OCC has approved over the past year. If the charter is granted, Lee Woolley, currently Block's Digital Asset Strategy Lead, is expected to serve as the bank's president and chief executive.</p><p dir="ltr">Block framed the application as an effort to place activities it already offers under a single federal supervisory framework, rather than a patchwork of state licenses. The company pointed to its experience running Square Financial Services and its broader work in digital assets as grounds for the request, saying the move supports its stated goal of expanding economic access.</p><p dir="ltr">The filing arrives amid a broader rush of fintech and crypto firms seeking OCC national trust charters. Revolut secured conditional approval just last week, following earlier approvals or applications from Coinbase, Paxos, BitGo, Ripple and Circle. The OCC has taken a largely accommodating posture toward the wave, though the applications remain individually reviewed and subject to conditions before any bank can begin operating.</p><p dir="ltr">Market reaction to the news was muted. Bitcoin eased modestly on September 8, slipping from highs near 78,900 dollars to lows around 78,000 dollars, a shallow move that suggests traders are not yet treating the filing as a meaningful catalyst on its own.</p><p dir="ltr">Approval is not guaranteed and would still require Block to satisfy the OCC's pre opening conditions before Builders Bank could begin operating. The more consequential test will be whether, and on what timeline, the OCC moves the application through the same review process it has applied to its other crypto trust charter applicants.</p><p dir="ltr"></p> This article was written by Eamonn Sheridan at investinglive.com.