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Stablecoin Issuer Circle Gains Bank Status, Stock Surges 12%
The charter lets Circle manage USDC reserves directly under federal oversight and expands fiduciary custody services for banks and other regulated institutions.
- On Friday, Circle received approval from the U.S. Office of the Comptroller of the Currency to establish Circle National Trust, placing the company's USDC infrastructure under direct federal oversight.
- Previously, Circle relied on third-party custodians to hold Treasury assets backing USDC, but the new charter enables direct management of reserves for the stablecoin, which has more than $73 billion in circulation.
- Shares of Circle gained more than 14% following the news, while Coinbase, a major distributor of USDC, stands to benefit from the broader institutional adoption of regulated stablecoins.
- Circle National Trust will offer fiduciary digital asset custody services, though the charter does not greenlight the company to operate as a commercial bank that takes deposits or issues loans.
- This federal banking charter signals a more legitimized digital asset landscape, reflecting a regulatory shift in Washington that began nearly a year ago with the GENIUS Act.
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29 Articles
Circle Jumps 14% on OCC Trust Bank Approval; Coinbase and Strategy Gain 5% as Bitcoin Bounces
A federal banking charter sent Circle stock surging Friday, but with 69% losses over the past year and a rival stablecoin backed by Visa looming, the question is whether this rally marks a turning point or just a dead-cat bounce.
·New York, United States
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Circle wins final regulatory approval to establish US trust bank, shares rise
Circle said on Friday it has received a final regulatory approval from the U.S. Office of the Comptroller of the Currency to establish a national trust bank, sending the stablecoin giant's shares surging 10% in premarket trading.
·New York, United States
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Coverage Details
Total News Sources29
Leaning Left1Leaning Right2Center10Last UpdatedBias Distribution77% Center
Bias Distribution
- 77% of the sources are Center
77% Center
C 77%
15%
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