Office of the Comptroller of the Currency (OCC) head Jonathan Gould confirmed debanking as a real issue for crypto firms, announcing agency efforts to halt the practice and advance stablecoin regulations, signaling a regulatory shift.

Executive Summary

Jonathan Gould, head of the Office of the Comptroller of the Currency (OCC), has acknowledged the widespread issue of "debanking" affecting cryptocurrency businesses and individuals. The OCC is actively working to reverse "anti-crypto licensing conditions" and implement clear regulations for stablecoins as mandated by the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act). This signals a strategic shift by the OCC towards fostering greater integration and stability for digital asset businesses within the traditional financial system, moving away from a previous "risk-elimination strategy."

The Event in Detail

Comptroller of the Currency Jonathan Gould publicly confirmed the phenomenon of debanking within the cryptocurrency industry, stating it is a "real phenomenon" that he has been addressing since the early days of his tenure. In September 2025, the OCC issued two bulletins aimed at preventing "politicized or unlawful debanking" within the federal banking system. These bulletins followed an August 2025 executive order from President Trump directing federal agencies to investigate instances where banks denied services based on political beliefs or lawful business activities, including cryptocurrency.

The OCC has also updated its customer complaint website to allow reporting of "unlawful debanking." Gould asserted, "We are working to root out bank activities that unlawfully debank or discriminate against customers on the basis of political or religious beliefs, or lawful business activities." The OCC will factor a bank's record and policies concerning debanking into licensing applications and Community Reinvestment Act (CRA) ratings. Furthermore, the OCC has ceased examining national banks and federal savings associations for reputation risk, removing references to it in examination procedures, a measure intended to eliminate a potential barrier to banking for the crypto-asset sector. This stance marks a clear departure from prior cautious regulatory approaches, with Gould noting many digital asset activities are "clearly legally permissible" and supporting their safe and sound pursuit. The OCC's function for crypto companies to license or charter as banks now reports directly to Gould's office, indicating increased focus.

Regulatory Framework and Financial Mechanics

The Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act), signed into law on July 18, 2025, establishes the first federal regulatory framework for payment stablecoins. The Act prohibits the issuance of payment stablecoins in the United States unless the issuer is a permitted entity under state or federal regimes that comply with strict reserve, redemption, compliance, and disclosure requirements. A payment stablecoin is defined as a digital asset used for payment or settlement purposes, redeemable at par for U.S. dollars, and not considered a deposit, security, or legal tender.

Key provisions of the GENIUS Act include mandates for stablecoins to be 1:1 backed by U.S. dollars or Treasuries, with issuers required to publish monthly reserve breakdowns. Issuers must also maintain clear redemption policies, demonstrate operational soundness, and possess the technical capability to freeze or burn coins if legally required. The Act prohibits issuers from claiming their stablecoins are legal tender, federally insured, or backed by the U.S. government. The OCC and state regulators are authorized to supervise different categories of issuers, and the Treasury Department is tasked with developing a framework for certifying comparable state regimes. While the GENIUS Act took immediate effect, federal agencies, including the Federal Reserve, OCC, and U.S. Treasury Department, are directed to issue implementing regulations within 180 days. These regulations are anticipated to be finalized and become operational by early to mid-2026. In response to a surge in fintech and crypto trust charter applications, the OCC has created a new Senior Deputy Comptroller for Chartering role, elevating the strategic importance of these functions and recognizing its expanded remit to license payment stablecoin issuers.

Broader Context and Market Implications

The OCC's shift in approach under Comptroller Gould signals a potential turning point for the Web3 ecosystem and corporate adoption of digital assets. The direct acknowledgment of debanking and the commitment to reversing "anti-crypto licensing conditions" offers immediate relief for crypto businesses that have struggled with access to traditional banking services. This move, coupled with the clear regulatory framework for stablecoins provided by the GENIUS Act, is expected to enhance the legitimacy and foster greater growth for the digital asset sector.

The newfound regulatory clarity and support from a key U.S. banking regulator could incentivize more traditional financial institutions to engage with the crypto sector, leading to increased integration and stability. The OCC's renewed "crypto-forward" regulatory approach, which had stalled under previous administrations, suggests a pragmatic and innovation-friendly environment for digital assets within the U.S. banking system. The establishment of formal requirements for licensing, reserve backing, and issuer conduct under the GENIUS Act provides a foundation for predictable engagement, which may encourage broader investor confidence and facilitate further innovation in the stablecoin market and the wider Web3 space.