The Office of the Comptroller of Currency (OCC) under the US Treasury has approved Paxos's application for a nationwide trust bank license.
The company has a year and a half to comply with all regulatory obligations. The OCC will then issue a permanent license to the organization to operate in all states.
Paxos applied in December 2020. At that time, the company was regulated by the New York State Financial Services Authority as a trusted company.
Trending: BNB Chain Gets Back to Normal After a Hack Estimated $100 M
Earlier, the Wyoming Banking Council granted the Kraken bitcoin exchange and the cryptocurrency startup Avanti the status of a special purpose depository institution with the functions of a traditional financial institution.
In January 2021, the OCC approved the application of the crypto custodian Anchorage to obtain a license for a nationwide "bank of digital assets".
In February, Protego Trust Bank received the second federal crypto bank license in the United States.