Ripple, the digital asset agency intently related to the XRP Ledger community, has utilized on Wednesday for a nationwide banking license on the Workplace of the Comptroller of the Foreign money (OCC), a spokesperson confirmed to CoinDesk.

The license would permit the corporate develop its crypto providers and function throughout state traces beneath federal regulation. Ripple points the $440 million RLUSD stablecoin regulated by the New York Division of Monetary Companies (NYDFS), and likewise offers digital asset custody providers.

The Wall Avenue Journal first reported the information earlier on Wednesday.

XRP

, the native cryptocurrency of the payments-focused XRP Ledger community, superior 3% on the information.

Ripple’s software comes after USDC issuer agency Circle (CRCL) additionally filed for the same license earlier this week, an indication that stablecoin firms are in search of federal oversight as U.S. laws to control stablecoins and crypto market construction advances. The Home of Representatives presently has the U.S. Senate’s stablecoin invoice earlier than it.

Crypto custodian Anchorage Digital already holds a federal constitution.

“If authorized, we might have each state (through NYDFS) and federal oversight, a brand new (and distinctive) benchmark for belief within the stablecoin market,” Ripple CEO Brad Garlinghouse stated in an X publish.

Garlinghouse stated the corporate additionally utilized for a grasp account on the Federal Reserve earlier within the week through Normal Custody, the New York-based belief and custody agency Ripple acquired final 12 months. Grasp accounts permit banks and depository establishments to straight entry the Federal Reserve, fairly than require them to undergo middleman banks.

If obtained, a Fed account would permit Ripple to retailer its stablecoin reserves comparable to U.S. Treasuries with the central financial institution and “present an extra layer of safety to future proof belief in RLUSD,” Garlinghouse stated.

For lengthy, crypto-focused corporations comparable to Kraken and Caitlin Lengthy’s Custodia Financial institution have tried with out success to acquire accounts on the Fed.

UPDATE (July 2, 18:40 UTC): Provides feedback from Brad Garlinghouse on financial institution constitution and Fed grasp account software.