Block Files OCC Application for National Trust Bank to Expand Bitcoin and Stablecoin Custody

Block has applied to the U.S. Office of the Comptroller of the Currency (OCC) for a national trust bank charter, proposing Builders Bank & Trust, N.A. to provide custody and related fiduciary services for digital assets including Bitcoin and stablecoins.

If approved, the proposed institution would operate as an uninsured, non-deposit-taking national trust bank. It would not accept deposits or make loans. Instead, Block says the charter would create a federal supervisory framework around certain custody and related activities that it already offers.

The application puts Block among a growing group of fintech and digital-asset companies seeking direct access to U.S. federal banking infrastructure. The OCC has been processing a growing pipeline of national trust-bank applications involving digital assets and custody services.

Block Moves Toward a Federal Trust Bank Charter

Block, the financial technology company behind businesses including Square and Cash App, has submitted an application to establish Builders Bank & Trust, N.A.

The proposed institution would have a substantially different role from a conventional retail bank.

Rather than taking customer deposits and extending loans, Builders Bank would focus on custody and fiduciary services, including custody of Bitcoin and stablecoins.

That distinction is important.

A national trust bank can provide specialised custody and fiduciary services without operating like a traditional insured deposit-taking bank. The OCC has previously approved national trust-bank structures for institutions focused on digital-asset custody and related activities.

For Block, the proposed charter would bring certain existing custody-related activities under a federal supervisory framework.

Builders Bank Would Not Take Deposits or Make Loans

Block is being explicit about what Builders Bank would — and would not — do.

The proposed bank would be:

• Uninsured
• Non-deposit-taking
• Focused on custody and related fiduciary services
• Designed to support digital assets including Bitcoin and stablecoins
• Not intended to make loans

That makes the proposed institution fundamentally different from a traditional consumer bank.

Customers would not be opening ordinary insured checking or savings accounts with Builders Bank. Instead, the institution would provide specialised financial infrastructure around assets that require secure custody and administration.

For digital assets, custody is particularly important because the holder of an asset may need infrastructure for secure storage, transaction authorisation, asset administration and institutional controls.

Block is effectively seeking to bring those activities into a dedicated national trust-bank structure.

Why the OCC Charter Matters for Block

The application is about more than obtaining a new corporate name.

Block says the proposed charter would establish a federal supervisory framework for certain custody and related activities currently offered by the company.

That could give Block a more direct regulatory structure for its digital-asset custody strategy.

It also fits into the company’s broader financial-services ambitions.

Block has already built significant payments and financial infrastructure through Square and Cash App. Its digital-asset strategy has increasingly included Bitcoin-related products and services.

A dedicated trust bank could give the company greater control over an important layer of that infrastructure.

Instead of relying entirely on third-party banking or custody relationships, Block would have a federally supervised entity designed specifically around custody and fiduciary services.

Lee Woolley to Lead Builders Bank

Block says Lee Woolley, its digital asset strategy lead, would serve as president and CEO of Builders Bank if the application is approved.

Woolley brings banking and financial-services experience to the proposed institution.

His previous roles include president and CEO of the Treasury Department Federal Credit Union, Mid-Atlantic regional president at BNY Wealth Management, and managing director of national advisory services at Northern Trust.

That background is significant because Block is moving into a more formal banking environment.

The proposed bank will need leadership capable of combining digital-asset expertise with traditional banking governance, fiduciary responsibilities and regulatory expectations.

Woolley’s background spans both sides of that equation.

Bitcoin and Stablecoins at the Centre

The proposed charter is particularly notable because Block specifically identifies Bitcoin and stablecoins as assets that Builders Bank would be able to custody.

That places the application squarely within the rapidly developing institutional digital-asset banking market.

Stablecoins are increasingly being used for payments, settlement and treasury activity, while Bitcoin remains a major institutional digital asset.

As adoption grows, businesses need more than exchanges and trading platforms. They also need regulated infrastructure for holding and administering digital assets.

This is where national trust banks are becoming increasingly relevant.

The OCC’s current digital-asset licensing programme lists multiple pending applications from entities seeking national bank charters to offer digital-asset products or services.

The regulator has also approved national trust-bank applications involving digital-asset custody.

For example, the OCC approved Coinbase National Trust Company in April 2026.

That creates an increasingly clear regulatory path for specialised digital-asset custody institutions.

Block Joins a Broader Fintech Banking Push

Block’s application arrives during a broader wave of fintech and crypto companies pursuing U.S. bank charters.

Recent applicants and approvals include companies pursuing national trust-bank structures for digital-asset and related financial services.

The trend is not limited to crypto-native companies.

Fintechs increasingly see regulated banking infrastructure as strategically important because it can reduce dependence on external partners and give companies greater control over products, compliance and customer relationships.

The distinction between a fintech company and a regulated financial institution is therefore becoming less rigid.

Block’s application is another example.

The company is not proposing to turn Cash App into a traditional bank through this charter. Instead, it is creating a specialised institution around custody and fiduciary services.

The Timing Is Significant

The timing of Block’s application is also noteworthy.

The OCC has recently been dealing with a growing number of applications involving digital assets and specialised national banking structures. Its public digital-asset licensing page lists multiple applications received during 2026.

At the same time, other major fintech companies are moving closer to full banking operations.

For example, Revolut received conditional OCC approval for a national bank charter earlier in September. Unlike Block’s proposed trust bank, Revolut’s planned U.S. bank is intended to provide a broader range of banking products, including checking accounts, loans and credit cards.

That contrast highlights two different approaches.

Revolut is pursuing broader banking capabilities, while Block is seeking a specialised trust-bank structure focused on custody and fiduciary services.

A Trust Bank Is Not a Traditional Retail Bank

It is worth being precise about the terminology.

The phrase “national bank” can easily create the impression that Builders Bank would operate like a conventional consumer bank.

It would not.

The proposed institution would be an uninsured national trust bank.

That means customers would not be placing FDIC-insured deposits with the institution. Its proposed business would centre on trust and custody activities rather than traditional lending and deposit-taking.

The OCC has used similar structures for specialised financial institutions whose business models focus on fiduciary services and digital-asset custody.

For Block, that structure appears better aligned with the specific financial infrastructure it wants to build.

What the Charter Could Mean for Block’s Digital-Asset Strategy

If approved, Builders Bank could become an important piece of Block’s digital-asset infrastructure.

The strategic advantages could include greater control over custody operations, a clearer federal supervisory framework and potentially less reliance on external institutions for certain custody-related functions.

It could also make Block’s digital-asset offering easier to scale.

However, the application should not be confused with approval.

Block has applied for the charter. Builders Bank has not yet been authorized to operate.

The OCC’s review process still needs to run its course, and the proposed institution would have to satisfy applicable regulatory and pre-opening requirements before beginning operations.

That distinction is especially important in financial-services reporting.

The Bigger Digital Banking Shift

The significance of Block’s application goes beyond the company itself.

Financial infrastructure around digital assets is moving toward a more regulated model.

The early crypto market largely developed outside traditional banking structures. Today, the direction is increasingly different.

Crypto companies are seeking national trust charters.

Banks are building digital-asset capabilities.

Fintechs are pursuing bank licences.

And regulators are establishing clearer frameworks for custody, payments and other digital-asset activities.

Block’s proposed Builders Bank sits directly in the middle of that transition.

The company is effectively saying that Bitcoin and stablecoin custody should become part of a formal, federally supervised financial-services infrastructure.

What Comes Next

The immediate next step is the OCC’s review of Block’s application.

If approved, Builders Bank & Trust would give Block a dedicated national trust-bank platform for custody and related fiduciary services, including Bitcoin and stablecoins.

It would not become a deposit-taking retail bank, and it would not replace Block’s existing financial-services businesses.

Instead, the institution could provide a regulated infrastructure layer underneath part of Block’s digital-asset strategy.

That could become increasingly valuable as institutional demand for digital assets moves beyond trading and into custody, payments, treasury management and settlement.

Conclusion

Block’s national trust bank application marks another important step in the convergence of fintech, banking, and digital assets.

Builders Bank & Trust would not be a conventional retail bank. It would be an uninsured, non-deposit-taking institution focused on custody and fiduciary services, with Bitcoin and stablecoins specifically included in its proposed mandate.

The application also reflects a wider shift in U.S. financial services. Digital-asset companies and fintechs are increasingly seeking regulated banking structures rather than operating entirely through traditional banking partners.

For Block, the question now is whether Builders Bank can secure OCC approval and become a core part of the company’s long-term digital-asset infrastructure.

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