The American banking lobby urges to slow down the approval of banking licenses for cryptocurrency companies

The American Bankers Association (ABA) submitted a letter to the Office of the Comptroller of the Currency (OCC), urging a slowdown in the approval process for cryptocurrency companies' bank charter applications. The ABA warned that approving these applications before Congress completes the relevant regulatory framework could pose risks to the financial system. Currently, several cryptocurrency companies, including Circle, Ripple, and Coinbase, are applying for or have already obtained OCC trust bank charters.

The banking industry is concerned that this will allow cryptocurrency companies to bypass the traditional banking intermediary layer and directly access the Federal Reserve payment system.