Top US Banks Consider Suing Regulator Over Crypto Banking Rules
On Monday, March 9, 2026, The Guardian reported that major US banks are contemplating legal action against their federal regulator over new crypto banking rules. These banks argue that the recently introduced licenses for cryptocurrency, payment systems, and fintech companies could endanger American consumers and destabilize the broader financial system.
The Bank Policy Institute (BPI), representing 40 of the largest US lenders, including JP Morgan, Goldman Sachs, and Citigroup, is reportedly weighing its options after the Office of the Comptroller of the Currency (OCC) allegedly disregarded warnings from banking groups and state regulators regarding its interpretation of federal licensing rules.
The OCC, under the leadership of Jonathan Gould, a Donald Trump appointee and former crypto executive, has streamlined the process for crypto and fintech startups to secure and operate under a national bank trust charter. This charter enables these firms to serve customers across all 50 states.
Traditional banks are concerned that the OCC’s approval of these firms allows them to operate within the US financial system without the stringent supervision and controls typically applied to fully fledged banks. Critics suggest that the OCC’s reforms align with the Trump administration’s push to integrate crypto and previously marginal financial firms into the mainstream.
Trump’s family-run cryptocurrency business, World Liberty Financial, garnered attention after applying for an OCC national trust bank charter in January. While bank lobby groups have refrained from commenting on the firm’s application, the move has faced opposition in Congress.
In October, the BPI urged the OCC to reject applications from crypto and blockchain firms like Circle and Ripple, as well as London-based payments firm Wise, all of which had applied for national trust charters. The BPI, whose board includes Jamie Dimon of JP Morgan, Brian Moynihan of Bank of America, and David Solomon of Goldman Sachs, cautioned that allowing firms to operate with a lighter regulatory touch while offering bank-like products could blur the lines of what constitutes a bank, increase systemic risk, and undermine the credibility of the national banking charter.
The Conference of State Bank Supervisors, representing financial regulators from all 50 states, expressed concerns in a letter to the OCC that granting regulatory approval to crypto and payments companies operating outside core federal banking laws would undermine competition, consumer protection, and financial stability.
Similar warnings were issued by the Independent Community Bankers of America (ICBA), representing approximately 5,000 smaller lenders, urging the OCC to revise its proposals for licensing crypto firms. The ICBA warned that the existing plans could create a significant loophole in bank regulation and pose critical public policy concerns.
Source: The Guardian
