Block Wants to Stop Acting Like a Giant Wallet and Start Acting Like a Bank

The Wallet That Wants to Become a Bank

On September 8, 2026, Block, Inc. filed an application with the Office of the Comptroller of the Currency for a national trust bank charter under the name Builders Bank & Trust, N.A. The filing positions Block to custody Bitcoin and stablecoins under federal preemption, bypassing the state-by-state money transmitter licensing regime that has constrained its Cash App business since inception. The charter is uninsured and non-deposit-taking — Block is not seeking to become a traditional bank. It is seeking federal authorization to hold digital assets at institutional scale.

Three Lanes in the Charter Wave

Block’s filing joins a charter wave that has accelerated through 2026, but the applicants are not all pursuing the same objective. The wave has sorted into three distinct lanes. Circle received final OCC approval in July for its national trust bank, positioning USDC infrastructure under federal oversight. Ripple obtained a conditional charter. BitGo secured final approval. These are crypto-native firms seeking legitimacy through federal chartering — a path from the margins to the regulated center.

The second lane is represented by Wall Street’s institutional pivot. JPMorgan, BNY Mellon, and State Street have expanded digital asset custody through existing banking licenses and subsidiary structures. These institutions are not filing for new charters; they are extending existing ones. The motivation is different — they are defending market share against digital-native competitors, not seeking legitimacy.