Wise Resubmits US Bank Charter Application Under GENIUS Act
Vexoda Newsroom
UK payments company Wise is changing its strategy to seek a national trust bank charter under the GENIUS Act framework after being denied by the OCC. The move comes amid ongoing regulatory challenges
Wise, a UK-based financial services firm specializing in cross-border transactions, has announced it will resubmit its application for a US national trust bank charter under the GENIUS Act framework. This decision follows the OCC's rejection of Wise’s initial application this week due to AML/CFT compliance concerns.
The Office of the Comptroller of the Currency (OCC) cited that Wise could not demonstrate an effective Anti-Money Laundering and Countering the Financing of Terrorism program, along with other illicit finance risks. Despite this setback, Wise is now pursuing a strategy under the GENIUS Act, which was signed into law in July 2025 to regulate stablecoins.
Investment banking group William Blair noted that Wise’s focus remains on reducing the cost of cross-border transactions regardless of payment rails. This shift reflects ongoing regulatory challenges faced by companies seeking charters from US regulators, particularly concerning AML/CFT compliance requirements.
The GENIUS Act aims to provide a framework for stablecoin providers in the United States but has yet to receive finalized regulations. The OCC missed its deadline last week to issue guidance on implementing this law before it becomes effective in January 2027. This delay adds complexity and uncertainty for companies like Wise.
Notably, other digital asset companies have already received national trust charters under the current framework, including Circle, Ripple Labs, Crypto.com, and Coinbase. However, these approvals do not necessarily indicate that Wise will change its stance on payment stablecoins with this new application process.
The move by Wise highlights ongoing regulatory challenges in the crypto industry as firms navigate complex legal landscapes to establish a presence in the United States. This development could have broader implications for other companies seeking similar charters and underscores the importance of AML/CFT compliance in securing US financial licenses.
Traders should monitor further developments from regulators regarding GENIUS Act implementation, as well as Wise’s application process under this framework. The outcome will likely influence market sentiment around stablecoin regulation and broader crypto industry trends.
Source: Cointelegraph. Summarized and rewritten by the Vexoda Newsroom. This is market news, not financial advice.