Jack Dorsey’s Block is seeking a federal banking charter to bring its Bitcoin and stablecoin custody business under direct U.S. regulatory supervision, another sign that digital-asset companies are moving deeper into the traditional financial system.
The fintech has applied to the Office of the Comptroller of the Currency to establish Builders Bank & Trust, an uninsured national trust bank. The proposed institution would provide custody and fiduciary services, including for Bitcoin and stablecoins, but would not accept deposits or make loans.
If approved, Builders Bank & Trust would give Block a federally regulated platform for expanding its digital-asset operations. Lee Woolley, Block’s digital-asset strategy lead, is expected to serve as chief executive of the proposed bank.
The application comes as the U.S. regulatory environment becomes more accommodating toward digital assets. The OCC has been expanding the framework for national trust banks, giving financial-technology and crypto companies a route to provide specialized services under federal supervision.
Block’s move also highlights the growing importance of custody as institutional investors and financial companies expand their exposure to Bitcoin and other digital assets. Rather than relying entirely on outside custodians, firms are increasingly seeking regulated infrastructure for holding and managing crypto assets.
The push into banking is not limited to Block. Other fintech and digital-asset companies are pursuing bank charters as regulators establish clearer rules for crypto-related financial services. Circle and Ripple, for example, have also moved toward federally regulated banking structures.
The broader shift coincides with the rapid institutionalization of stablecoins. U.S. regulators have established a federal framework for payment stablecoins, helping bring dollar-pegged digital assets further into the mainstream financial system.
For Block, the proposed bank would not be a conventional lender. Instead, it would give the company a regulated foundation for a business increasingly centered on digital assets — positioning Bitcoin and stablecoins as part of the infrastructure of mainstream finance rather than simply as cryptocurrencies.