A major regulatory decision could reshape Ripple’s future and alter XRP’s standing in global finance. Investors, traders, and institutions are watching closely as Ripple’s bid for a federal charter moves toward resolution.
ChartNerd highlighted this critical scenario on X, noting that approval of Ripple’s proposed trust bank could mark a defining moment for the company and the broader XRP ecosystem. His post sparked significant discussion about what such approval would mean for regulated digital asset services in the United States.
What Ripple Is Seeking
Ripple has formally applied for a U.S. national trust bank charter from the Office of the Comptroller of the Currency (OCC). This charter differs from a traditional retail bank license.
It would allow the new Ripple National Trust Bank to offer fiduciary activities such as custody and settlement services under federal law. The charter application is now under review, following the standard 120-day evaluation period that started mid-2025.
$XRP: If Ripple's trust bank receives final approval, it could become a defining moment for the company and the $XRP ecosystem. The move would enable Ripple to offer regulated digital asset services under federal law 🏦 https://t.co/uweHjSGwES pic.twitter.com/u7kNPXWeQE
— 🇬🇧 ChartNerd 📊 (@ChartNerdTA) December 10, 2025
A trust bank charter would also enable Ripple to operate under direct federal supervision rather than relying on a patchwork of state regulations. Alongside this charter, Ripple has applied for a Federal Reserve master account, which would grant direct access to central bank payment systems.
Regulatory Shift and Market Structure
Securing federal approval would signal a significant regulatory shift for the crypto sector. Currently, digital asset firms operate largely outside the core federal banking framework. A charter under the OCC places Ripple in a category with other federally regulated institutions.
This shift would not only elevate Ripple’s legal standing but also provide clarity around how XRPL-related services can function within U.S. financial rules. Such clarity is crucial for institutional partners concerned about compliance and oversight.
Potential Benefits for XRP
If approved, the charter could indirectly boost XRP’s utility and adoption. A federally regulated trust bank could use XRP as a settlement tool within a regulated payments context. Institutions often demand high compliance standards before adopting digital assets at scale. A trust bank structure provides such standards.
Direct Federal Reserve access, through a master account, would also enhance Ripple’s infrastructure credibility. This access could reduce settlement costs and friction for institutional clients, making XRP-enabled services more attractive.
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Over time, increased usage of XRP for regulated settlement might tighten supply on public exchanges, potentially strengthening price support.
Strategic and Competitive Dynamics
Ripple’s charter effort comes as other crypto firms pursue similar paths. Stablecoin issuer Circle has also applied for a national trust bank charter, joining a broader trend among digital asset companies seeking federal oversight. This competitive environment pressures regulators to clarify standards for integrating digital finance with traditional banking.
However, the path to approval is not guaranteed. Trade groups and banking associations have urged regulators to delay or reconsider such charters, citing concerns about systemic risk and appropriate fiduciary responsibilities. Public commentary on the applications highlights ongoing debate over the proper role of crypto firms in federally overseen finance.
What Investors Should Watch
The next major milestone is the OCC’s decision on the trust bank charter. Approval would unlock a new regulatory category for Ripple and potentially elevate XRP’s utility within regulated frameworks. A rejection or significant delay could push the company to adjust its strategy.
For now, market participants are tracking regulatory updates, Federal Reserve responses, and institutional adoption signals. These developments will shape whether Ripple’s banking ambitions translate into broader demand for XRP in regulated financial use cases.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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