U.S. Crypto Firms Circle, BitGo, Coinbase and Paxos Pursue Bank Licenses as 2 Bills Push for Stablecoin Regulation
Cryptocurrency companies in the U.S. are moving towards becoming more integrated with traditional finance by seeking banking licenses and preparing for potential stablecoin regulations. Circle and BitGo are among the firms working on applications for U.S. bank charters. Coinbase and Paxos are reportedly exploring similar steps. These efforts come as Congress debates new laws that would impose stricter rules on stablecoin issuers, aiming to regulate how these dollar-pegged digital tokens are managed.
BitGo is applying for a full banking charter, which would allow it to offer services such as deposits and loans. The company is also involved with USD1, a stablecoin backed by World Liberty Financial, which is supported by members of…
