Rain pursues a federal trust bank charter, but faces potential roadblocks as community banks sue to invalidate the OCC regulatory framework supporting such digital asset licenses.
Rain is actively pursuing a US trust bank charter to expand its regulatory footprint in the crypto sector. However, its path is complicated by a legal challenge from community banks, which are seeking to overturn the OCC rules that provide the legal framework for such charters, introducing significant regulatory uncertainty for the firm.
Rain faces a legal challenge from community banks that are attempting to overturn the OCC rules that allow crypto firms to obtain federal trust charters.
Crypto firm Rain has applied for a federal trust bank charter, joining a competitive field of digital asset companies. The move faces significant regulatory headwinds as community banks launch a legal challenge to overturn the OCC rules that govern these charter applications.
Community banks argue that the OCC lacks the legal authority to grant federal trust charters to crypto-focused firms, seeking to overturn the regulatory framework that enables these applications.