Circle Internet Group, the stablecoin issuer licensed in Bermuda, has received the go-ahead from regulators in the United States to establish a national trust bank, marking what the company described as a major step towards bringing digital assets into the mainstream financial system.

The New York-based company said approval from the US Office of the Comptroller of the Currency will allow it to set up Circle National Trust, a federally regulated national trust bank that will start out by providing custody for Circle’s digital assets.

The development could have implications for Bermuda, where Circle holds a Digital Assets Business Act licence and has kept a close relationship with the island's digital asset sector, including recent government initiatives aimed at developing an on-chain economy.

Bermuda, even as it positions itself as a digital asset hub, has stalled in efforts to establish a home-grown digital bank, following the launch of Jewel Bank several years ago. The bank is still not operational, according to its website.

Circle representatives and Bermuda’s Ministry of Finance did not immediately respond to outreach from The Royal Gazette.

Circle stated in a press release that the new bank would strengthen the infrastructure around the dollar-backed stablecoin, the United States Dollar Coin, through federally regulated custody services. In the future, the bank will also manage the reserve assets that back USDC.

Initially, Circle National Trust will provide custody services for the company and its affiliates. Under the business plan approved by the OCC, the bank could eventually expand those services to some institutional customers including other banks, depending on demand.

In a statement, Jeremy Allaire, Circle's cofounder, chairman and chief executive, described the approval as “a defining step in bringing blockchain technology and digital assets into the core of the US financial system.”

He added: “Federal oversight of our trust bank sets a new standard for transparency, governance and scale for Circle's infrastructure and unlocks a new phase of adoption, where leading financial institutions can build on public blockchains with clarity and confidence.”

The charter places Circle National Trust under the direct supervision of the OCC, the primary federal regulator for national banks.

Circle has steadily expanded its regulatory footprint over the past several years. In addition to Bermuda, the company is licensed in the United Kingdom, Singapore, Canada, Abu Dhabi and the European Union under the Markets in Crypto-Assets framework.

The company received conditional approval for the national trust bank charter in December after submitting its application to the OCC in June 2025.