USDC stablecoin issuer, Circle files for US banking licence

Circle, a global financial technology firm and leading stablecoin issuer, has applied for a National Trust Charter with the Office of the Comptroller of the Currency (OCC) in the United States.

The application, announced on June 30, 2025, seeks to establish First National Digital Currency Bank, N.A., a federally regulated trust institution. If approved, the bank would manage the USDC Reserve on behalf of Circle’s U.S. issuer and offer digital asset custody services to institutional customers.

Circle’s Co-Founder, Chairman, and CEO, Jeremy Allaire, stated, “Establishing a national digital currency trust bank of this kind marks a significant milestone in our goal to build an internet financial system that is transparent, efficient and accessible.” He added that the move would strengthen USDC infrastructure and align with emerging U.S. regulations for dollar-denominated payment stablecoins.

What Circle’s banking licence application means for Africa

While the application is in the U.S., the potential implications resonate across the African continent, where stablecoins are increasingly being explored for various use cases.

Speaking about Circle’s banking charter application, Fincra CEO, Wole Ayodele, says, “I think this is very important. Circle getting a banking licence allows them to process third-party payments for financial institutions and businesses trying to mint and redeem on Circle.” However, he notes, “the major problem is that this takes a lot of off-ramp/on-ramp providers out of the picture, as essentially the banking arbitrage, which their business benefits from, will go away and everyone will be able to work directly with Circle.”

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Here are other things African entrepreneurs and businesses should note:

• Increased Legitimacy and Trust: A federally regulated trust charter in the U.S. could boost global confidence in USDC. This increased legitimacy could trickle down to African markets, fostering wider adoption of stablecoins for cross-border payments, remittances, and as a hedge against local currency volatility.
• Regulatory Influence: Circle’s proactive engagement with regulators, as evidenced by their pursuit of this charter and compliance with regulations like the EU’s MiCA, may influence regulatory frameworks in Africa. African regulators might look to these examples as they develop their own approaches to digital assets.
• Improved Infrastructure: Allaire believes the OCC approval will enhance “the reach and resilience of the U.S. dollar.” If approved, the creation of First National Digital Currency Bank, N.A. could lead to more robust and reliable infrastructure for stablecoin transactions. This, in turn, could benefit African businesses that rely on efficient and cost-effective payment solutions for international trade.
• Potential for Institutional Adoption: The proposed bank will offer digital asset custody services to institutional customers. This could encourage greater participation from traditional financial institutions in the digital asset space, potentially unlocking new opportunities for collaboration and investment in African fintech ventures.

The GENIUS Act legislation, which Allaire referenced, represents a step forward in integrating digital assets into the broader U.S. financial system. As the U.S. develops clearer regulatory pathways, African nations might find models to adapt for their unique economic contexts.

Circle has a track record of securing key licenses and authorisations globally, including the first NYDFS BitLicense in 2015 and compliance with the EU’s MiCA framework in 2024. In April 2025, Circle received in-principle approval from the Financial Services Regulatory Authority of the Abu Dhabi Global Market to operate as a money services provider.

The outcome of Circle’s application with the OCC will be closely watched by the global fintech community, including stakeholders in Africa, as it could set a precedent for the future of stablecoin regulation and adoption.