Wise plans to submit a new application for a US national trust bank charter under the GENIUS Act after the Office of the Comptroller of the Currency rejected its initial bid. The rejection ended Wise's effort to create Wise National Trust in Austin, Texas, with the company disclosing the outcome on July 24 and stating that its current US services continue without change. The new filing will use the federal framework for payment stablecoins rather than the structure in Wise's original June 2025 application.
Regulatory Background
The OCC's decision said Wise did not show that the proposed trust bank could meet US legal and regulatory requirements, focusing on weaknesses in anti-money laundering and countering the financing of terrorism controls. The regulator also questioned the experience of the proposed directors and managers, stating that the team did not show enough knowledge of national banking rules, fiduciary services, or AML/CFT operations. Wise said it had strengthened financial-crime controls since filing the original plan and would address the regulator's findings in its next submission.
Future Plans
Wise now plans to apply under the GENIUS Act, which created a federal licensing and supervision system for payment stablecoin issuers. The company has not said it will launch its own stablecoin, with William Blair analysts stating that they do not expect a major change in Wise's position. The GENIUS Act is due to take effect on January 18, 2027, or 120 days after regulators publish final rules, whichever comes first. Wise will need to explain what activities its new entity would conduct, how it would use stablecoins, and how it would meet the stricter AML/CFT standards planned for permitted issuers.
Industry Context
Wise is entering a crowded federal licensing process, with the OCC having approved several digital asset companies for national trust charters during the past year. The approvals have drawn opposition from banking groups and some lawmakers, with the Bank Policy Institute considering a challenge to the OCC's trust-charter policy. Wise's case differs because the regulator issued a direct denial tied to its compliance record and management plan, with the new GENIUS Act filing potentially offering a different route, but still requiring Wise to satisfy the OCC's standards before gaining a charter.
Based on reporting from crypto.news.