Payward, the parent company of crypto exchange Kraken, filed an application on May 8, 2026 with the U.S. Office of the Comptroller of the Currency to charter a national trust bank focused on digital asset custody. The proposed entity, Payward National Trust Company (PNTC), would offer federally regulated custody and fiduciary services for institutional clients and retail customers seeking bank-grade protection for crypto holdings. The filing arrives one day after Payward agreed to acquire Hong Kong stablecoin payments firm Reap Technologies for up to $600 million, in a deal that valued Payward at roughly $20 billion. Together, the moves position Kraken’s parent to compete head-on with Coinbase, Ripple, and Circle for the institutional custody business that has expanded sharply since the OCC began approving crypto trust banks in late 2025.
A national trust company is a federally chartered financial institution that holds and safeguards client assets under OCC supervision but cannot take deposits or issue checking accounts.
Key takeaways
- Payward filed for an OCC national trust charter on May 8, 2026 to launch Payward National Trust Company (PNTC), a federally regulated custodian for digital assets.
- The application follows a $600 million agreement to acquire Hong Kong stablecoin firm Reap Technologies, signaling a push into both U.S. custody and global stablecoin payments.
- If approved, Payward joins Anchorage, Circle, Ripple, BitGo, Fidelity Digital Assets, Paxos, Bridge, Protego, and Crypto.com on the federal crypto trust bank roster.
- National trust charters do not allow firms to take deposits or access FDIC insurance, but they do unlock access to institutional clients that require a federally regulated qualified custodian.
Published: May 9, 2026 14:00 UTC
What the OCC charter would unlock
If approved, PNTC would let Payward serve registered investment advisers, pension funds, and other institutions restricted by federal rules to qualified custodians under bank-level oversight. Kraken Financial already holds a Wyoming Special Purpose Depository Institution (SPDI) charter and a Federal Reserve master account secured in March 2026, but Wyoming charters do not satisfy every federal custody requirement. A national trust company sits under direct OCC supervision and is recognized across all 50 states.
Payward described the filing as part of a “multi-charter” strategy. The Wyoming SPDI handles digital asset banking and payments; PNTC would handle fiduciary custody at scale, leaning on existing Payward infrastructure rather than building a separate operation.
The OCC’s crypto charter pipeline is now full
Anchorage Digital became the first federally chartered crypto bank in January 2021 and remained the only one for nearly five years. That changed on December 12, 2025, when the OCC conditionally approved five firms in a single announcement: Circle, Ripple, BitGo, Fidelity Digital Assets, and Paxos. Three more conditional approvals followed in February 2026 for Bridge (Stripe’s stablecoin subsidiary), Protego, and Crypto.com.
Payward’s filing would push the count of crypto firms with active OCC trust charter applications past a dozen. The pace reflects a clear policy shift: SEC Chair Paul Atkins has linked the rise of AI-powered financial systems to demand for blockchain-based market infrastructure, and the OCC under acting Comptroller Jonathan Gould has moved faster on digital asset applications than at any point in the agency’s history.
Why the Reap acquisition matters in the same week
The OCC filing landed one day after Payward announced a cash-and-stock deal to buy Reap Technologies, a Hong Kong firm that builds cross-border payment rails connecting traditional banking systems to stablecoin settlement. The deal is valued at up to $600 million and is Payward’s third-largest acquisition to date. It is expected to close in the second half of 2026, subject to regulatory approvals.
The pairing tells a clear story. Payward wants the U.S. trust charter for custody, and Reap for the stablecoin payments rails feeding business-to-business flows in Asia. Together the pieces give Kraken’s parent a regulated custody product on one side of the trade and a global settlement layer on the other.
Limits of a national trust charter
National trust bank charters are narrower than full bank charters. Approved firms cannot take customer deposits, issue checking or savings accounts, or access Federal Deposit Insurance Corporation coverage. Conditional approval is not the final step either. Each applicant must still satisfy operational, capital, and compliance conditions before the OCC grants permission to begin full operations.
For Payward, the practical effect is access to institutional clients that demand a federally regulated qualified custodian, including registered investment advisers managing more than $150 million, public pension funds, and certain ERISA retirement accounts. Without a national trust charter, those clients have to use Anchorage, BitGo, or Coinbase Custody Trust.
What comes next
The OCC will publish the application for public comment, typically within 30 days of filing, and the comment period usually runs 30 days. Conditional approval, if it comes, generally lands six to nine months after filing based on the timeline of recent crypto approvals. Final operational approval requires Payward to demonstrate it has met all OCC conditions, including capital adequacy, governance, and Bank Secrecy Act compliance.
Industry watchers will also be tracking whether the OCC begins sequencing approvals around stablecoin issuers versus pure custodians. Bridge, Circle, and Paxos all run stablecoin businesses; PNTC, like Anchorage and BitGo, would focus on custody first. The distinction may matter as Congress continues to debate stablecoin legislation that could require federal charters for U.S. issuers.
Frequently asked questions
What is a national trust company charter?
A national trust company charter is a federal license issued by the Office of the Comptroller of the Currency that allows a financial institution to hold and manage client assets under federal oversight. Trust banks cannot accept deposits or offer checking accounts, but they can serve as qualified custodians for institutional investors, retirement plans, and registered investment advisers across all 50 states.
How is Payward National Trust Company different from Kraken Financial?
Kraken Financial holds a Wyoming Special Purpose Depository Institution charter and a Federal Reserve master account, which it uses for digital asset banking and payments. Payward National Trust Company would be a separate federally chartered entity focused specifically on fiduciary custody under direct OCC supervision, designed to serve clients that need a national-level qualified custodian.
When will the OCC decide on Payward’s application?
Based on the timeline of the December 2025 and February 2026 approvals, conditional approval typically arrives six to nine months after filing. Payward filed on May 8, 2026, which would put a potential conditional decision in late 2026 or early 2027. Final operational approval requires meeting additional conditions and could follow several months later.
