Paxos Trust Company Seeks National Trust Bank Charter
Paxos Trust Company, the cryptocurrency firm behind Paypal’s stablecoin PYUSD, is seeking a national trust bank charter from the U.S. Office of the Comptroller of the Currency (OCC), Reuters reported.
If approved, Paxos would convert its current New York limited purpose trust charter into a federal one, enabling it to hold assets and settle payments but not take deposits or issue loans.
Reuters reported that the move places Paxos among several digital asset firms—such as Circle and Ripple—that have recently applied for OCC trust bank licenses. Paxos previously secured preliminary approval in 2021 before its earlier application expired in 2023. Currently, Anchorage Digital is the only crypto company with such a charter. The application comes shortly after Paxos settled $48.5 million in charges with New York regulators over past dealings with Binance, and as the U.S. implements new rules for stablecoins.
