Ripple Applies for U.S. Bank License to Advance RLUSD Stablecoin, Following Circle

On July 2, 2025, Ripple Labs, the San Francisco-based blockchain company behind XRP (XRP/USD), filed an application for a national banking license with the Office of the Comptroller of the Currency (OCC). Announced on July 3, the move seeks to position Ripple as a federally regulated entity, enabling broader crypto services and deeper integration with traditional financial infrastructure.

This follows Circle’s (NYSE: CRCL) application for a national trust bank charter on June 30, highlighting a growing push among crypto firms for federal legitimacy.

Through its subsidiary Standard Custody, Ripple has also applied for a Federal Reserve Master Account to hold reserves for its RLUSD stablecoin directly with the U.S. central bank.

“If approved, we would have both state (via NYDFS) and federal oversight, a new (and unique!) benchmark for trust in the stablecoin market.,” said CEO Brad Garlinghouse.

The RLUSD stablecoin, designed for efficient cross-border payments, is central to Ripple’s strategy to bridge crypto and traditional financial systems.

XRP Price Surges as Regulatory Clarity Boosts Investor Confidence

News of the filing triggered a 4.6% surge in XRP’s price (XRP/USD), rising from $2.17 to over $2.27 on July 2. The rally reflects growing investor optimism around Ripple’s pursuit of regulatory clarity.

A national bank charter would allow Ripple to provide services like custody and payment settlement under federal oversight, reducing reliance on third-party banks and enhancing efficiency.

By securing federal regulation, Ripple aims to compete more effectively with Circle, whose USDC stablecoin has gained traction in compliant markets.

Crypto companies move toward federal charters to gain a competitive edge in trust and compliance. This regulatory push could attract institutional clients wary of crypto’s uncertain legal landscape.

Federal Oversight Reshapes Crypto’s Role in Traditional Banking

Ripple’s pursuit of a banking license coincides with a shifting U.S. regulatory environment for cryptocurrencies. The OCC’s growing receptiveness to crypto firms, combined with the Federal Reserve’s role in overseeing stablecoin reserves, marks a turning point for the industry.

Ripple’s application could pave the way for other blockchain firms to operate as regulated financial institutions, redefining the crypto market’s integration with traditional banking.

“Ripple has always built trusted, battle-tested, and secure infrastructure,” Garlinghouse emphasized. “In a market worth over $250 billion, RLUSD stands out by prioritizing regulation—setting the standard institutions expect.”