Big Banks Fight Back Against Crypto Firms’ Push for Banking Licenses
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US banking giants are pushing back hard against crypto companies attempting to secure federal banking licenses, warning regulators that fast-tracking approvals would be reckless.
In a strongly worded letter to the OCC, the American Bankers Association and other financial trade groups demanded a pause on applications from firms like Circle and Ripple, calling the move a “fundamental departure” from existing banking rules.
“These companies don’t operate like traditional banks—why should they get the same privileges?” the letter argues.
If granted, the licenses would let crypto firms bypass traditional banking partners, settling transactions faster and operating nationwide. But the banking lobby isn’t giving up without a fight.
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