IS RIPPLE BECOMING A BANK? HISTORICAL THRESHOLD FOR XRP FROM THE USA
It has been confirmed that the Office of the Comptroller of the Currency (OCC) in the USA has given conditional preliminary approval to five crypto companies, including Ripple, Circle, BitGo, Paxos, and Fidelity Digital Assets, to become a national trust bank. The OCC emphasizes that this step aims to modernize the American banking system and promote financial innovation within a regulated framework (OCC, 2024).
For Ripple, this development is particularly significant as it is the sole applicant with a local token such as XRP that has price volatility. Circle’s USDC, being a stablecoin, distinguishes itself in this regard. Ripple CEO Brad Garlinghouse described the approval as a "significant milestone" for their goal of taking on a more central role in the global payment infrastructure (Garlinghouse, 2024).
While national trust bank status allows for asset custody and payment processing, it does not grant the authority to collect deposits or make loans. Nonetheless, being able to operate across states with a single federal license represents a significant advantage, especially for Ripple, which focuses on cross-border payments. Experts believe this development is a strong indication that the line between traditional banking and digital finance is rapidly blurring (CoinDesk, 2024).
Conclusion: While the OCC’s conditional approval does not transform Ripple into a classic bank, it represents a historic gateway to the regulated financial world for the XRP ecosystem.
