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On February 27, the OCC announced a final rule clarifying that national trust banks may engage in certain non-fiduciary activities—such as custody and safekeeping of assets—alongside traditional trust services. The rule, which takes effect April 1, 2026, is particularly relevant to fintech and digital asset firms that have sought national trust charters to provide services such as digital asset custody or stablecoin infrastructure. The OCC explained that the change is intended to eliminate confusion created by earlier regulatory language suggesting that national trust banks were limited to purely “fiduciary” activities.
The rule arrives amid growing interest in national trust bank charters from fintech and digital asset firms. Banking groups and state regulators opposed the change, arguing it could broaden the scope of trust bank activities and allow entities to obtain a national banking charter without engaging in traditional banking functions such as deposit-taking or lending. The OCC rejected those concerns, stating that the rule merely aligns its regulations with the National Bank Act and clarifies that national trust banks may engage in non-fiduciary activities that are part of, or related to, trust company operations. The agency also noted that proposed activities will continue to be evaluated case-by-case through its chartering review process.
Putting It Into Practice: The final rule provides additional regulatory clarity for institutions considering national trust bank charters, including firms focused on custody, asset servicing, or specialized banking activities (previously discussed here). By confirming that national trust banks may conduct certain non-fiduciary activities related to trust company operations, the OCC appears to reinforce the flexibility of this charter structure within the framework of the National Bank Act. Institutions considering national trust bank charters should review the revised regulation and ensure proposed activities align with the OCC's clarified framework.
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