U.S. banking group opposes Coinbase's bid for national trust bank charter

The Independent Community Bankers of America (ICBA) has sent a letter to the U.S. Office of the Comptroller of the Currency opposing an application by Coinbase to establish a federally regulated trust bank through a subsidiary, Cointelegraph reported. The association argued that if Coinbase's subsidiary were to establish the trust, unproven elements such as cryptocurrency custody could negatively impact the traditional financial system. The ICBA also stressed that the proposed trust would be unable to maintain profitability during a crypto bear market.