Ripple takes another step towards becoming a US bank as regulators approve crypto intermediary

The U.S. Office of the Comptroller of the Currency has issued new guidance that could reshape the way traditional finance and digital assets interact. The regulator said banks can now act as intermediaries for crypto transactions through “risk-free principal” activities. This means that banks can temporarily purchase crypto assets and then sell them to customers without incurring market risk.

Timing is critical. Earlier this week, the Commodity Futures Trading Commission also launched a pilot program that allows Bitcoin, stablecoins and other digital assets to be used as collateral in derivatives markets. Taken together, these moves could mean a more open stance from Washington towards regulated crypto activity.

Why this matters to Ripple Bank's ambitions

Ripple could be one of the biggest beneficiaries of this change. In July, CEO Brad Garlinghouse confirmed that Ripple had applied for national bank certification from the OCC. If approved, Ripple would be subject to both state oversight by the NYDFS and federal oversight by the OCC. This makes Ripple one of the first companies in the stablecoin space to operate with a full US banking license.

Garlinghouse also revealed that Ripple has applied for a master account with the Federal Reserve through Standard Custody. This will allow Ripple to hold RLUSD reserves directly with the Federal Reserve. Direct access from the Fed is rare, giving Ripple a strong foundation to operate RLUSD as a stablecoin for regulated financial institutions.

Ripple says its focus is on building a “trusted, battle-tested, and secure infrastructure.” The stablecoin market is currently worth over $250 billion, and the company claims that putting regulation at the heart of its design will allow RLUSD to stand out.

What the Banking Charter Unlocks

If Ripple receives a national banking license, it will be allowed to store digital assets, provide lending services, and have direct access to the Fed's systems. This includes FedNow, the instant payments network in the United States. This could potentially increase the number of payment and settlement use cases related to XRP, especially in cross-border flows.

The charter could also give Ripple access to the Federal Reserve's discount facilities in times of liquidity stress, a privilege normally reserved for banks. This will make Ripple one of the most heavily regulated players in the digital asset market.

Cleaner cross-border rules will further facilitate Ripple

In a second development, the CFTC cleaned up its cross-border swap rules. The updated framework reduces uncertainty for institutions wishing to settle transactions using digital assets. This is a direct boost for Ripple. Ripple's model is built around compliant cross-border payments.

The combination of cleaner rules and more crypto-friendly banking guidance will lower the barrier for banks to adopt RLUSD and consider payments powered by XRP in a regulated environment.

Is Ripple on track to become America's first crypto-native bank? The regulatory aspects are steadily coming together.