Block applies for OCC trust bank charter for Bitcoin custody
In brief
- Block applied to the OCC to establish Builders Bank & Trust for digital asset custody
- Builders Bank would provide custody for Bitcoin and stablecoins only, no deposits or loans
- Lee Woolley, Block's digital asset strategy lead, named as proposed CEO
- Circle, BitGo, and Ripple have already secured similar OCC trust bank charters
A Specialized Custody Play
Block said the charter would give its custody operations a consistent national framework as the business expands. The proposed Builders Bank would operate under OCC supervision and offer custody and related fiduciary services — a model that separates it from traditional commercial banking. Lee Woolley, Block's digital asset strategy lead, would serve as Builders Bank's president and CEO.
The structure reflects a growing trend among crypto firms seeking regulatory legitimacy. Circle and BitGo have received final approval for national trust bank charters, while Ripple has received conditional approval for a similar charter. Kraken parent Payward and crypto infrastructure provider Zerohash have also submitted applications.
Why This Matters
Custody infrastructure remains critical for institutional adoption of digital assets. A federal charter provides regulatory clarity and allows Block to scale its custody business under a consistent national framework rather than juggling state-by-state licensing. The bank's focus on custody alone—no deposits, no loans—keeps regulatory risk contained while addressing a genuine market need. For Block, it's a play to establish Builders Bank as a foundational piece of crypto infrastructure.
The application signals Jack Dorsey's continued commitment to Bitcoin and digital assets through Block, even as the broader fintech landscape evolves.
