Washington, D.C. (Nov. 9, 2026) — The Independent Community Bankers of America (ICBA) today expressed opposition to the Office of the Comptroller of the Currency’s reported final approval of Coinbase’s application for a national trust bank charter for its Coinbase National Trust Company subsidiary. The approval comes amid a New York State Attorney General’s lawsuit alleging that a separate Coinbase subsidiary, Coinbase Financial Markets Inc., is violating state and federal laws by running illegal prediction markets that lack consumer protections and internal controls.
“The OCC’s misguided approval of Coinbase’s trust charter application is based on the agency’s flawed chartering rule for national trust banks, which will only serve to put U.S. consumers at risk,” ICBA President and CEO Rebeca Romero Rainey said. “ICBA has repeatedly told the OCC that its charter interpretation, which far exceeds the agency’s statutory authority, undermines the stability of the financial system by allowing a non-traditional institution to offer deposit-like services without adequate regulatory oversight or deposit insurance. ICBA and the nation’s community banks will continue to challenge the OCC’s chartering rule for national trust banks to ensure any firm engaged in non-fiduciary activities and seeking the benefits of a federal bank charter is required to meet the same standards as community banks.”
In its letter to the OCC on Coinbase’s application, ICBA noted significant deficiencies with the application, including flawed risk and control functions, profitability challenges, and resolution risks.
More broadly, ICBA has repeatedly said the OCC lacks statutory authority to expand non-fiduciary trust powers and that the sudden influx of national trust charter applications demonstrates nonbank entities are seeking the benefits of a U.S. bank charter without satisfying the full scope of U.S. bank regulations — threatening consumers and the financial system. It has repeatedly called for the OCC to withdraw the rule or reissue an amended proposal consistent with its own statutory authority.
ICBA looks forward to continued engagement with policymakers on these issues to ensure strong, clear, and consistent oversight of the financial services sector.
About ICBA
The Independent Community Bankers of America® has one mission: to create and promote an environment where community banks flourish. We power the potential of the nation’s community banks through effective advocacy, education, and innovation.
As local and trusted sources of credit, America’s community banks leverage their relationship-based business model and innovative offerings to channel deposits into the neighborhoods they serve, creating jobs, fostering economic prosperity, and fueling their customers’ financial goals and dreams. For more information, visit ICBA’s website at icba.org.