The American Bankers Association (ABA) called on the Office of the Comptroller of the Currency (OCC) to slow down approvals for national trust bank charters for crypto and stablecoin firms. Stating that these approvals should not be granted until the regulatory framework of the GENIUS Act is clarified, ABA drew attention in its comment letter published on Wednesday to uncertainties arising from multiple federal and state regulators. It emphasized that uninsured digital asset-focused trust banks carry unresolved security issues such as segregation of customer assets, conflicts of interest, and cybersecurity. It also warned that these charters could be used to avoid SEC or CFTC oversight.
Banks lobby OCC over crypto trust bank charters. Source: ABA
ABA asked the OCC to be patient, provide transparency in capital and operational standards, and tighten naming rules to prevent uninsured trusts from using the word “bank”. This call came shortly after the OCC gave conditional approvals two months ago to BitGo Bank & Trust, Fidelity Digital Assets, Ripple National Trust Bank, First National Currency Bank, and Paxos Trust Company. The association also advocates limiting stablecoin rewards through regulations like the CLARITY Act.
ABA’s Security Concerns Toward the OCC
ABA detailed that uninsured digital asset trust banks are inadequate in protecting customer funds, resilience against cyber threats, and filling regulatory gaps. These charters could create systemic risks by deviating from traditional banking standards. In particular, stablecoin integrations in Layer-2 tokens like ALT detailed analysis could be affected.
OCC’s Conditionally Approved Crypto Firms
- BitGo Bank & Trust
- Fidelity Digital Assets
- Ripple National Trust Bank (XRP-linked)
- First National Digital Currency Bank
- Paxos Trust Company
These approvals are accelerating institutional entry in the crypto sector, but according to ABA, they are premature.
ALT Token Technical Analysis: Support and Resistance Levels
ALT is in a downtrend at current price $0.01. RSI 40.79 neutral, Supertrend bearish, EMA 20: $0.0095.
| Level | Price | Score | Distance | Sources |
|---|---|---|---|---|
| S1 | $0.0082 | 74/100 ⭐ STRONG | -7.97% | Fibo 0.114, LVN 4, S2, Ichimoku Tenkan |
| S2 | $0.0069 | 68/100 ⭐ STRONG | -22.56% | Fibo 0.000, Donchian L |
| R1 | $0.0096 | 70/100 ⭐ STRONG | +7.74% | R3, BB Middle, SMA 20, Fibo 0.236 |
| R2 | $0.0113 | 69/100 ⭐ STRONG | +26.82% | SMA 50, Keltner Upper, Fibo |
Despite 24h change +12.93%, bearish signals dominate. For ALT futures, watch for R1 breakout.
Ripple XRP and Trust Bank Connection
Ripple’s OCC approval strengthens XRP stablecoin plans. However, ABA warnings could trigger SEC-CFTC conflicts, pressuring XRP price.
Goldman Sachs’ Crypto Purchases: Institutional Contrast
Despite regulatory pressure, Goldman Sachs accumulated 1.1 billion $ BTC, 1 billion $ ETH, 153 million $ XRP, and 108 million $ SOL. This is a long-term optimism signal for tokens like ALT: Institutional entry is accelerating despite regulatory delays.
Regulatory Risks for ALT Investors
Until GENIUS and CLARITY acts are clarified, ALT detailed analysis recommendation: Hold S1 support, target R1. Cyber and compliance risks support short positions.
Source: https://en.coinotag.com/aba-calls-on-occ-to-slow-crypto-trust-bank-approvals-alt-effect
