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Banks Take Crypto Charters to Court: ICBA Challenges the OCC in a New Lawsuit

By CANDY News Desk · 2026-10-03 · News

WASHINGTON, Oct. 3 (CandyPulse) — America's community banks are taking their fight over crypto to court. The Independent Community Bankers of America (ICBA) has filed a lawsuit against the Office of the Comptroller of the Currency (OCC), challenging rules that let crypto firms obtain national trust bank charters.

Key takeaways

What the OCC allowed

Traditionally, national trust bank charters were limited to firms doing fiduciary work, such as managing assets on behalf of clients. A final rule the OCC issued on March 2, 2026 widened that path, allowing companies doing non-fiduciary activities, including digital asset businesses, to obtain these charters.

For crypto firms, a federal charter is valuable. It brings credibility, a direct relationship with a federal regulator and an easier path to operating nationwide.

What the ICBA argues

The ICBA says the OCC "far exceeded its limited statutory authority" and has effectively created a new route into the banking system. It argues that crypto trust banks can sidestep obligations community banks must meet, such as the Community Reinvestment Act and FDIC insurance, and face lighter oversight.

"Congress did not create the national trust charter as a side door into the banking system for crypto firms seeking the credibility of a federal bank charter," said ICBA President and CEO Rebeca Romero Rainey.

The two sides

ICBA's viewSupporters' view
The OCC's ruleExceeds what Congress allowedModernises charters for new businesses
Crypto firmsGetting bank credibility without bank rulesGaining a regulated, supervised home
RiskUneven rules and weaker protectionsBetter oversight than staying outside banking

Why it matters

The case goes to the heart of a big question: how should crypto firms fit into the banking system? If the court sides with the ICBA, crypto companies' path to federal charters could narrow sharply. If it sides with the OCC, more crypto firms may seek bank-like status.

What's next

The case was filed under the Administrative Procedure Act and asks the court to declare both the rule and the interpretive letter unlawful. Court cases like this can take months. Watch for the OCC's response and any early rulings.

This article is for information only and is not legal or financial advice.

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