Coinbase Global has received conditional approval from U.S. banking regulators for a national trust company charter. The move could enhance its appeal to institutional investors.
The approval comes amid a more crypto-friendly regulatory environment under President Donald Trump. Full approval from the Office of the Comptroller of the Currency (OCC) would allow Coinbase to operate as a federally regulated crypto custodian.
"Federal oversight will bring consistency and uniformity to our custody business," said Greg Tusar, Coinbase Institutional’s co-CEO.
Coinbase clarified it will not become a commercial bank, nor take retail deposits or engage in fractional reserve banking.
Crypto.com also recently secured conditional approval from the OCC for a similar trust charter.