Block files OCC trust bank bid as 40 crypto charters pending

Block filed an OCC application to establish Builders Bank & Trust, a national trust bank for Bitcoin and stablecoin custody, as the regulator reviews 40 de novo charter applications.

"Building on Block's experience in the digital asset space, our history with Square Financial Services, and the deep banking expertise of the team we've assembled, we believe Builders Bank is well positioned to support Block's broader vision of economic empowerment," Lee Woolley, who would serve as president and CEO of Builders Bank, said.

The proposed institution would operate as an uninsured, non-deposit-taking national trust bank focused exclusively on custody and fiduciary services. Unlike a commercial bank, Builders Bank would not accept customer deposits or issue loans. Woolley currently serves as Block's Digital Asset Strategy Lead and previously held senior banking positions at Northern Trust and BNY Mellon.

The filing lands as the OCC has expanded its use of national trust charters for digital asset businesses since late 2025. Comptroller Jonathan Gould said in August that digital asset companies conducting legally permissible activities should have access to the national banking system. The regulator had 13 pending digital asset licensing applications at that point, with Payward, Revolut and World Liberty Financial among the applicants.

OCC approvals accelerate across crypto sector

Revolut received conditional OCC approval last week to establish Revolut Bank US, N.A. in Stamford, Connecticut, with roughly $95 million in initial capital. Circle received final OCC approval in July to establish Circle National Trust, becoming the first stablecoin issuer to complete the charter process. Ripple, Paxos, BitGo and Fidelity Digital Assets received conditional approvals in December 2025.

World Liberty Financial, the crypto venture backed by President Donald Trump's family, received preliminary conditional approval on Aug. 14 to establish World Liberty Trust Company. The proposed institution would issue and redeem the USD1 stablecoin and manage its reserves, subject to maintaining at least $20 million in eligible capital. The approval drew political scrutiny because of the Trump family's ties to the company.

Block already operates within the U.S. banking system through Square Financial Services, an industrial bank that began operations in 2021. Builders Bank would create a separate federally supervised structure focused on trust and custody activities, giving Block a national regulatory framework as those operations scale.

The application remains subject to OCC review, and Builders Bank cannot begin operations until the regulator approves the charter and the institution completes organizational requirements covering capital, governance and compliance systems. The OCC's broader approach to crypto charters has drawn scrutiny from Sen. Elizabeth Warren, who questioned the agency's authority under the National Bank Act, and the Bank Policy Institute has retained outside counsel over a possible legal challenge.

If approved, Builders Bank would position Block alongside a growing group of federally regulated custodians serving institutional clients that require compliance certainty for digital asset holdings. The outcome could also set a template for other fintech companies weighing whether to bring crypto custody into the federal banking system.

This article is for informational purposes only and does not constitute investment advice.