ICBA sent a letter to the OCC in response to its request for information on its notice of proposed rulemaking on national bank chartering, which would amend current regulations to permit the OCC to charter limited purpose trust banks that engage substantially in non-fiduciary activities. ICBA:

• Said the proposed amendment is both inconsistent with statutory authority and poses significant public policy concerns.
• Said it is particularly concerned that the proposed change will promote the position that the OCC may charter uninsured national trust banks that engage in non-fiduciary cryptocurrency-related activities without being subject to the Bank Holding Company Act and other prudential requirements that apply to FDIC-insured institutions.
• Urged the OCC to withdraw the NPR or reissue an amended NPR that is consistent with the OCC’s statutory authority.
• Said that, at minimum, the agency should also impose a moratorium on pending and new charter applications until a final rule fully aligns with statutory intent and incorporates public comments.