Bank group sues U.S. regulator over granting crypto trust charters

The Independent Community Bankers of America filed suit against the Office of the Comptroller of the Currency on Oct. 2, 2026, asserting the regulator has overstepped the limits of the National Bank Act by granting national trust-bank charters to crypto-focused firms. The ICBA, which represents many smaller U.S. banks, contends those trust charters are being used as a pathway into the federal banking system without subjecting the charter holders to the same supervisory and prudential requirements that apply to traditional community banks. In its complaint, the ICBA argues the OCC’s approach has created an uneven competitive landscape because many crypto trust-charter holders do not face the same obligations on capital, liquidity, examiner supervision or Federal Deposit Insurance Corp. coverage tied to retail deposit accounts. ICBA President and CEO Rebeca Romero Rainey said Congress did not intend for the national trust charter to serve as an entry point for crypto firms seeking federal bank credibility. The OCC declined to comment on the litigation when asked. The regulator has in recent years approved a series of national trust charters for firms with crypto-related business models; examples cited by industry observers include Protego and Erebor, alongside trust filings or charter approvals involving Coinbase, Circle and Crypto.com. Some approvals have drawn public controversy, including the charter for World Liberty Financial, a firm partly owned by President Donald Trump and his family, which prompted criticism from Senator Elizabeth Warren. Industry groups have urged consistent rules across charter types. After the filing, Paige Pidano Paridon of the Bank Policy Institute said BPI supports bringing innovative services into regulated banking so long as entities offering comparable activities face the same rules and responsibilities, and she argued firms limited to trust activities should only receive trust charters while those pursuing broader banking services should seek full-service charters. The ICBA lawsuit represents a legal attack on the OCC’s chartering choices that could influence how crypto firms access federal banking status going forward.