Ripple Makes Power Play: Files for U.S. Bank Charter – Is This Crypto’s Final Assault on Wall Street?

Ripple just dropped a regulatory bombshell—applying for a U.S. bank license could rewrite the rules of crypto’s Wall Street invasion.

The move signals an audacious pivot: no longer content to disrupt from the sidelines, blockchain’s $150B payments giant is now gunning for the system’s core infrastructure. TradFi banks watching their lunch get eaten? Priceless.

This isn’t just about XRP settlements anymore. Approval would let Ripple offer FDIC-insured accounts, process wire transfers, and essentially become the first crypto-native bank—all while short-circuiting the correspondent banking system they’ve spent years bypassing.

The regulatory chess match intensifies: SEC lawsuits in one corner, state/federal banking charters in the other. Meanwhile, Jamie Dimon’s probably drafting another ‘crypto is worthless’ memo—between martinis at the Fed discount window.

Source: Brad Garlinghouse/X

Ripple runs the RLUSD stablecoin alongside the XRP Ledger blockchain, all aimed at its payment vision.

The race heats up…

However, the rush for a national bank charter application is part of the requirement within the stablecoin bill, the GENIUS Act. 

The bill, recently passed by the Senate and currently in the House, mandates that a firm must be a chartered non-bank, U.S bank, or credit union to be able to issue stablecoins in the United States. 

In fact, Circle, another stablecoin issuer, made a similar application on 30 June. 

According to Circle’s CEO, Jeremy Allaire, the license WOULD help “integrate digital assets” with the broader U.S financial system. 

“Establishing a national digital currency trust bank of this kind marks a significant milestone in our goal to build an internet financial system that is transparent, efficient, and accessible.”

Other potential stablecoin issuers or facilitators like Erebor and Wise have also applied for a similar bank license. However, as of press time, only Paxos and Anchorage Digital Bank had their applications approved. 

Meanwhile, Caitlin Long of Custodian Bank clarified that most of the current applications are for trusts, and not banks.

However, former lawmaker John Deaton believes that Ripple would soon become a bank and offer crypto-backed loans, mortgages, etc. 

Source: John Deaton/X

On the contrary, BitMEX Founder Arthur Hayes criticized this move, arguing that crypto firms can’t compete with seasoned TradFi players.

“If a crypto firm becomes a bank, it must comply with banking rules. That means the government wins. You can’t outcompete JPMorgan at their own game—especially when the game is rigged in their favor.”

As expected, this update juiced XRP bulls to push the altcoin to $2.3 at press time, bringing the altcoin to a key short-term target.

The market’s bullishness was illustrated by the weighted sentiment spike to a two-month high. The next medium target would be $2.6 if the momentum extends itself. 

Source: Santiment