Circle Pursues US Banking License to Strengthen Crypto Custody Services

Circle has formally applied for a US banking license following its public offering, positioning itself as a regulated custodian for both proprietary and client crypto assets. The move signals growing institutional confidence in digital assets amid tightening financial regulations.

The application underscores Circle's strategy to establish a compliant foundation before anticipated stablecoin regulations take effect. "Banking status prioritizes legal safety for customers," the company stated, framing the bid as a proactive measure rather than a reactive compliance play.

Market observers note the timing coincides with heightened regulatory scrutiny of stablecoins. Circle appears to be securing infrastructure ahead of potential policy shifts that could reshape asset custody requirements for crypto firms operating in US markets.