US Banking Regulator Grants Provisional Charter to Blockchain Bank OpenReserve

The Office of the Comptroller of the Currency has issued a provisional national bank charter to OpenReserve, expanding the roster of crypto-native financial institutions operating under federal oversight.

The Office of the Comptroller of the Currency (OCC) has granted a provisional charter to OpenReserve, a blockchain-based full-service bank, marking another step in the integration of cryptocurrency infrastructure into the traditional banking system. The approval allows OpenReserve to begin operations under federal supervision while it demonstrates compliance with national banking standards.

The provisional charter represents a conditional approval that permits OpenReserve to offer a full range of banking services—including deposits, lending, and payment processing—while the OCC monitors its adherence to capital requirements, anti-money laundering protocols, and consumer protection standards. Provisional charters typically last 18 to 24 months before a bank can apply for a permanent charter.

OpenReserve joins a small but growing group of crypto-native institutions that have secured federal banking licenses or charters in recent years. Previous recipients include Anchorage Digital, which became the first federally chartered digital asset bank in 2021, and Paxos Trust Company, which operates as a limited-purpose trust company under New York state law.

The bank's business model centers on blockchain-based settlement and custody services, allowing institutional clients to hold both fiat currencies and digital assets under a single regulatory framework. This structure aims to eliminate the friction that traditional financial institutions face when moving funds between conventional banking systems and cryptocurrency exchanges.

For retail and institutional crypto users, the development could reduce counterparty risk by providing FDIC insurance on dollar deposits held at OpenReserve, though cryptocurrency holdings themselves remain outside the scope of federal deposit insurance. The bank's charter also enables it to access Federal Reserve payment systems, potentially accelerating settlement times for large transactions.

The OCC's willingness to approve crypto-focused bank charters reflects a broader regulatory shift toward accommodating digital assets within established financial frameworks rather than treating them as parallel systems. However, provisional status means OpenReserve will face heightened scrutiny and must meet strict operational benchmarks to retain its charter.

Industry observers note that the approval comes as traditional banks increasingly seek to offer cryptocurrency services to clients but face internal compliance hurdles and reputational concerns. Dedicated crypto banks like OpenReserve may fill this gap by specializing in digital asset infrastructure while maintaining regulatory compliance from inception.

OpenReserve has not disclosed the size of its initial capital raise or the identities of its founding investors. The bank is expected to begin onboarding institutional clients in the coming months, with retail services to follow pending regulatory approval of additional consumer protection measures.