Block Wants to Build a Bank for Bitcoin and Stablecoin Custody
Hey Digital Banking Fanatic!
Block is making another move into banking infrastructure — this time with digital assets at the center.
The company has applied to the OCC to establish Builders Bank & Trust, a national trust bank that would provide custody and related fiduciary services for assets including bitcoin and stablecoins.
This wouldn’t be a traditional bank. Builders Bank would be uninsured, non-deposit-taking, and would not make loans. Instead, the charter would give Block a federally regulated framework for scaling its custody business across the US.
It’s another interesting sign of how the lines between digital banking, fintech, and digital assets continue to blur — with companies building regulated financial infrastructure around the assets their customers increasingly want to hold.
And while Block is looking to build its own banking infrastructure in the US, Europe’s neobanks are attracting something else: global institutional capital, from Qatar and Singapore to Abu Dhabi.
Let’s get into today’s Digital Banking stories. 👇 See you tomorrow!
Cheers,
INSIGHTS
💡 Global Capital Behind Europe’s Neobanks. Europe’s leading neobanks are attracting sovereign wealth funds and global investment firms from beyond the region: Starling with Qatar Investment Authority, N26 and Monzo with Singapore’s GIC, and Revolut with Abu Dhabi’s Mubadala. The investor mix shows that Europe’s digital banks are increasingly becoming global financial assets, attracting capital from some of the world’s largest institutional investors.
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🇺🇸 Block applies to establish Builders Bank & Trust, a national trust bank focused on digital assets. The proposed bank would provide custody and fiduciary services for bitcoin and stablecoins and would operate without deposits or lending activities.
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