Key facts
- Block has applied to the OCC for a national trust bank charter to establish Builders Bank & Trust.
- The proposed bank aims to provide custody and fiduciary services for Bitcoin and stablecoins.
- Builders Bank & Trust would operate as a federally regulated national trust bank under OCC supervision.
- Lee Woolley is proposed to be the president and CEO of Builders Bank & Trust.
Jack Dorsey's Block Inc. has applied for a national trust bank charter from the Office of the Comptroller of the Currency (OCC) to establish Builders Bank & Trust. The company, which manages Square, Cash App, and Bitkey, submitted the application on September 4.
If approved, Builders Bank & Trust would provide federally regulated custody and fiduciary services for Bitcoin and stablecoins. Block stated that the bank would operate under OCC supervision and would not accept deposits or issue loans, functioning as an uninsured entity.
Block joins a growing list of digital asset firms, including Coinbase, Circle, Crypto.com, and Paxos, that have either received conditional approval or are awaiting approval from the OCC for similar banking licenses. Decentralized financial protocol World Liberty Financial also received approval this year.
Lee Woolley, who would serve as President and CEO of Builders Bank, said in a statement that the bank is well-positioned to support Block's vision of economic empowerment, building on the company's experience in digital assets and its existing banking expertise through Square Financial Services.
Block handled approximately $10.7 billion in Bitcoin volume last year. Dorsey, a proponent of Bitcoin as everyday currency, has previously integrated Bitcoin acceptance into Square's point-of-sale products for small businesses.