Massachusetts Senator Elizabeth Warren has intensified scrutiny of the Office of the Comptroller of the Currency’s push to charter crypto firms as national trust banks, arguing that such moves may violate banking law and blur the lines between banking and crypto activities.

In a letter addressed to OCC Acting Comptroller Jonathan Gould, Warren contends that the agency has approved at least nine national trust charters for crypto companies whose activities “appear to go far beyond the narrow set of activities permitted by law,” potentially breaching the National Bank Act. She has requested a full accounting: all national trust charter applications approved since December 2025, any conditional approvals, and all communications between the OCC and figures connected to the Trump administration, including President Trump, his family, and White House officials. Source: US Senate Banking Committee.

Warren—ranking member of the Senate Banking Committee—described the charter push as a bid by certain crypto companies to act as banks while avoiding the safeguards that come with banking status. “These companies are effectively crypto banks that want to evade the fundamental safeguards and obligations that come with being a bank,” she wrote, warning that the regulator’s approach risks consumers and the integrity of the banking system. The OCC did not provide an immediate comment when reached by Cointelegraph.

Key takeaways

• Senator Elizabeth Warren alleges the OCC has approved nine national trust charters for crypto firms that may exceed the National Bank Act, calling for full disclosures of approvals since December 2025.
• Kraken’s parent Payward filed on May 8 for a national trust charter, aiming to offer fiduciary custody and related services for digital assets under the Payward National Trust Company.
• A national trust charter permits custodial and fiduciary services without traditional deposit-taking or lending, potentially reducing regulatory burdens for crypto custodians.
• The debate sits within broader political and regulatory tensions, including Warren’s criticisms of perceived conflicts of interest and ongoing discussions around the CLARITY Act and related crypto legislation.
• Investors should monitor how, if at all, these charters affect custodial infrastructure, consumer protections, and the boundary between banking regulation and crypto activity.

Kraken bid on the OCC’s table, signaling a broader push for crypto custody

On May 8, Payward—the parent company of the cryptocurrency exchange Kraken—submitted an application to the OCC for a national trust charter. If approved, the charter would allow Payward to provide fiduciary custody and other services primarily for digital assets under the proposed Payward National Trust Company. This aligns with a broader pattern of crypto firms seeking formal, bank-like status to access regulated custodial services and potentially traditional financial rails without engaging in deposit-taking or lending, a hallmark of a national trust charter.

A national trust charter is distinct from a conventional bank charter. It would permit these providers to offer custodial and fiduciary services for clients’ assets while avoiding the full spectrum of deposit-taking and commercial lending requirements typical of traditional banks. The resulting regulatory regime could offer more clarity and oversight for digital-asset custody but may also raise questions about the adequacy of consumer protections and the precise scope of activities allowed under such charters.

Regulatory tensions and the politics of crypto banking

The push for national trust charters sits at the intersection of a broader regulatory debate over how the U.S. should oversee crypto-related financial services. Warren has been a vocal critic of perceived policy conflicts that connect political figures to the crypto industry. In recent weeks, she has pressed for clarifications in crypto market structure legislation—the CLARITY Act—and has urged regulators to slow or reconsider approvals around charter applications tied to political figures and their families, including references to World Liberty Financial, a Trump family–backed initiative that filed for a charter earlier in the year. Cointelegraph coverage.

From the regulator’s perspective, the central question is whether national trust charters strike an appropriate balance between enabling legitimate custody and ensuring robust consumer protections and financial stability. Critics warn that creating a parallel, crypto-specific banking lane could sow regulatory fragmentation if not harmonized with federal banking standards. Supporters argue that formal chartering could bring necessary discipline, tailor oversight for digital assets, and improve confidence for institutional participants seeking regulated custody services.

As the regulatory dialogue continues, lawmakers and industry participants will watch for concrete OCC actions: new charters granted, denials, or policy statements clarifying the framework for crypto custodians. In the meantime, the OCC’s current approach remains under close political scrutiny, with potential implications for market participants seeking regulated custody and for investors assessing the risk and governance of crypto infrastructure.

Cointelegraph requested comment from the OCC but did not receive an immediate response.

Earlier context around Warren’s crypto governance stance and related regulatory efforts is available in ongoing coverage from Cointelegraph, including notes on her push to curb perceived conflicts of interest and to shape crypto policy more firmly in Congress. For reference, see Warren’s remarks on financial policy and related reporting: Warren’s concerns about crypto bailouts.

5,800 users in two hours. One QR code. One bow that went viral.

Some platforms launch with a whitepaper. Some with a token. GraphDex launched with a hedgehog, a condom, and the co-founder of Ethereum bowing in respect.

A short video from Token2049 Singapore, recorded in September 2024, resurfaced across X this week at precisely the moment GraphDex went live. In this video, the project’s hedgehog mascot moves through the conference floor, greets attendees, and hands a branded condom to Vitalik Buterin. The condom carries GraphDex branding and a QR code that opens the app directly. Buterin takes it and then bows to the hedgehog.

Vitalik Buterin receives a branded condom from the GraphDex hedgehog mascot at Token2049 Singapore, September 2024. Video shows Buterin bowing to the hedgehog immediately after.

The clip sat dormant for over a year. Then the product launched – and everything changed.

The bow heard around crypto

In a space where Vitalik Buterin is treated as something between a philosopher-king and a meme, a moment of him bowing to a hedgehog mascot is not a small thing. It is the kind of image that crypto Twitter cannot ignore, doesn’t want to ignore, and will share without being asked.

The bow was brief, yet the reaction to it lasted longer.

Within two hours of GraphDex going live, the platform registered 5,800 users across its web app and Telegram mini-app. The clip had no destination in 2024; in 2026, it pointed to a live product, and that shift transformed a conference moment into a distribution mechanism that no marketing budget could replicate.

“We always believed the hedgehog would have a second moment. The product was ready. The clip found its timing.” – GraphDex representative

What Vitalik bowed toward

GraphDex is a unified crypto terminal built around a problem every active Solana trader knows intimately: too many tools, not enough time.

The platform consolidates Solana DEX trading, real-time token discovery, wallet and social tracking, Polymarket-powered prediction markets, copytrading for prediction markets – a feature that does not exist on Polymarket itself – and AI-powered signal analysis into a single non-custodial interface.

The non-custodial architecture, built on Privy infrastructure, means user funds stay in user-controlled wallets at all times. After FTX and Celsius, this is less of a feature and more of a baseline expectation. GraphDex built it in from day one.

The copytrading layer for prediction markets is the product’s most structurally novel element. Users can filter top forecasters by PnL and win rate and mirror their positions automatically — bringing the logic of copy trading to outcome-based markets for the first time at this scale.

The hedgehog is still out there

The clip continues to move through X, attaching itself to trading accounts, KOL feeds, and communities with no prior connection to GraphDex. Each share extends the loop: new viewers see the bow, scan the QR code, open the platform, and encounter the same dynamics that made the clip spread – narrative momentum, real-time signals, and fast-moving markets – now visible and actionable in one place.

About GraphDex

GraphDex is a unified crypto terminal combining Solana DEX trading, Polymarket prediction markets with copytrading, AI signal analysis, Bubble Maps, and non-custodial Privy wallet infrastructure.

Canaan mining maker posted an $88.7m net loss in Q1 2026 on revenue of $62.7m as Bitcoin prices and hashprice both fell sharply.

Canaan Inc. reported in a May 19 press release that Q1 2026 revenue reached $62.7 million, in line with its February guidance range but down sharply from $196.3 million in Q4 2025.

The company recorded a gross loss of $22.9 million for the quarter, including a $25 million inventory write-down, and a net loss of $88.7 million compared to $86.4 million in the same period a year earlier.

“Despite bitcoin price volatility, compressed hashprice conditions, elevated energy costs, and weather-related disruptions in North America, we delivered total revenue of $62.7 million, which was in line with our guidance,” said Nangeng Zhang, chairman and chief executive of Canaan.

Industrial mining equipment drove $39.6 million of Q1 revenue, though machine sales fell 75% sequentially as the company completed final deliveries under a large-scale North American order.

Canaan mining operations hold amid hardware slump

Self-mining contributed $19.1 million in Q1 revenue, with Canaan producing 257 bitcoin at an average revenue per coin of $61,034. The company’s installed computing power across 10 joint-mining projects reached approximately 11 EH/s, up 10.7% sequentially.

Canaan grew its cryptocurrency treasury to a record 1,807.60 bitcoin and 3,951.53 Ethereum as of March 31.

The company also acquired a 49% interest in ABC Projects in West Texas from Cipher Mining, adding approximately 4.4 EH/s of operational capacity and expanding its energy infrastructure footprint.

As crypto.news reported, Canaan received a second Nasdaq non-compliance notice in January 2026 for trading below the $1 minimum bid price, with a July 13 deadline to regain compliance. The stock fell a further 13.94% to around $0.41 on Tuesday, near its 52-week low.

What Canaan’s Q2 guidance signals for mining hardware

Canaan guided Q2 2026 revenue between $35 million and $45 million, well below the analyst consensus of approximately $96 million. The company said it will continue monitoring global policy developments and market conditions and may revise its outlook as visibility improves.

The weak guidance reflects broader sector pressure. As crypto.news reported in its coverage of American Bitcoin’s Q1 results, miners are navigating simultaneously declining hashprice, higher energy costs, and increasing AI pivot costs.

The Bitcoin price fell 22% in Q1, squeezing margins across the mining hardware supply chain. CFO Jin Cheng noted that $42 million in customer accounts receivable was collected in April, bringing total cash to approximately $85.5 million, providing near-term operational runway while the company awaits market stabilisation.

TLDR

• Elizabeth Warren questioned the OCC over its approval of crypto-focused trust bank charters.
• She argued that these firms operate like banks while avoiding strict federal banking regulations.
• Warren stated that the approvals could pose risks to consumers and the financial system.
• She requested records of communications between the OCC and Donald Trump or his family.
• The OCC granted charters to companies including Coinbase, Paxos, Ripple, BitGo, and Fidelity Digital Asset Services.

U.S. Senator Elizabeth Warren has pressed a federal banking regulator over approvals granted to crypto-focused institutions. She questioned whether these firms met legal standards and raised concerns about risks to the financial system. Her request targets decisions by the Office of the Comptroller of the Currency regarding trust charters for digital asset companies.

The development follows recent approvals issued by the Office of the Comptroller of the Currency. These approvals allowed several crypto firms to operate under national trust bank charters. Warren sent a formal letter seeking detailed explanations and supporting records from the regulator.

Elizabeth Warren Questions Crypto Charter Approvals

Warren stated that the approved firms operate like banks but avoid strict regulatory requirements. She argued that the agency enabled companies to bypass safeguards applied to full-service national banks. She wrote, “These companies are effectively crypto banks that want to evade fundamental safeguards.”

She also claimed that the approvals conflict with federal banking law and established oversight practices. She warned that the decisions could affect consumers and overall financial stability. She added that the process may weaken the separation between banking and commerce.

Warren’s letter specifically requested documents related to communications between regulators and executive officials. She asked for any records involving President Donald Trump or his family members. She also sought details on internal review processes for the charter decisions.

She noted that several companies received trust charters instead of pursuing full national bank licenses. She argued that this route allows firms to avoid stricter capital and compliance standards. She said the firms “look like crypto banks, not trust companies.”

Regulator Approvals Include Major Crypto Firms

The Office of the Comptroller of the Currency granted trust charters to companies such as Coinbase and Paxos. It also approved applications linked to Ripple, BitGo, and Fidelity Digital Asset Services. These firms now operate under limited-purpose banking frameworks.

Warren argued that business plans from these firms suggest broader financial activities. She said the plans include custodial services, payment facilitation, and lending functions. She also pointed to stablecoin operations that resemble deposit-taking activities.

She stated that these activities align more closely with traditional banking services. She argued that such operations should require full regulatory approval under national bank standards. She emphasized that regulators must ensure compliance with existing federal laws.

The OCC did not issue an immediate response to Warren’s request for comment. However, the agency previously supported efforts to create a crypto-friendly regulatory environment. These actions aligned with policies introduced during Trump’s administration.

Concerns Extend to Trump-linked Crypto Venture

Warren also referenced a pending charter application involving World Liberty Financial Inc. The company has financial ties to Trump and his family members. She raised concerns about potential conflicts of interest in the review process.

She requested further clarity on how the OCC evaluates applications tied to politically connected entities. She asked whether standard review procedures applied equally in such cases. She also sought timelines for pending charter decisions.

Her letter emphasized transparency and accountability in regulatory decisions. She urged the OCC to provide complete records and justification for its actions. The agency has yet to disclose the requested materials or provide a formal reply.

London’s financial policy circle is signaling a sharper focus on digital money, with senior Bank of England officials outlining how tokenization could drive lower costs, faster settlement, and greater competition in payments and markets. The remarks come as policymakers pursue a framework that nurtures innovation while preserving financial stability, and as the BoE signals changes to the settlement backbone that could underpin a broader digital-asset ecosystem.

Deputy Governor Sarah Breeden, speaking during City Week in London, described tokenization—the digital representation of assets and money on distributed ledgers—as a conduit to more efficient payments and markets, provided that trust and interoperability are embedded in the design. While central bank money remains the anchor of the monetary system, Breeden stressed that private-sector innovations such as tokenized deposits and regulated stablecoins are increasingly visible, and that policy must accommodate these developments without undermining resilience.

Breeden articulated a balanced vision: alongside traditional bank deposits, the public should be able to transact with tokenized bank deposits, regulated stablecoins, and potentially a retail central bank digital currency (CBDC). In her view, market competition across a broader technology and business-model spectrum should translate into lower costs and enhanced user functionality. The Bank’s transcript of the speech frames tokenization as a path to modernization, not a wholesale replacement of existing money or payment rails.

The BoE has signaled that its thinking is being refined through close collaboration with industry, government, and regulators to craft a framework that supports innovation while safeguarding financial stability. This stance aligns with ongoing industry engagement as policymakers reassess the UK’s stance on digital assets and the role of private money within an anchored monetary system.

Key takeaways

• Tokenization as a catalyst for efficiency: Representing assets and money on digital ledgers could improve payment efficiency and market functionality, contingent on robust trust, interoperability, and risk controls.
• Central bank money remains the anchor: The BoE emphasizes that sovereign money will continue to underpin the monetary system even as tokenized deposits and regulated stablecoins gain traction.
• Settlement infrastructure evolving toward near-continuous operation: The BoE proposed extending the operating hours of RTGS/CHAPS to near 24/7 to support cross-border payments and securities settlement amid growing tokenization activity.
• Regulatory recalibration for stablecoins and digital assets: The Bank is reconsidering its approach to pound-denominated stablecoins, with a focus on reducing friction for early adopters while maintaining safeguards against financial instability.

Tokenization, interoperability and the anchor role of central bank money

The Bank of England’s policy direction treats tokenization as a potential enabler of more efficient and resilient financial markets, not as an immediate replacement for established systems. By representing real assets and public money on auditable digital ledgers, tokenization could streamline settlement cycles, reduce counterparty risk, and broaden access to payment services. However, officials insist that any transition must preserve trust in the monetary framework and ensure interoperability across platforms and providers.

Breeden underscored a pragmatic stance: central bank money remains the universal reference point, while private innovations—such as tokenized deposits and regulated stablecoins—could coexist with traditional products. The policy objective is clear, she said: unlock higher competition, deploy a wider set of technologies, and deliver better outcomes for users without compromising safety or financial stability. The emphasis on interoperability signals a preference for cohesive standards and governance that can survive cross-border and cross-platform interactions.

From a regulatory perspective, the emphasis on a coordinated framework has implications for banks, payment firms, and digital-asset counterparties. Institutions seeking to deploy tokenized products would need to demonstrate robust risk management, reliable reserve backing where applicable, and clear compliance with AML/KYC requirements. The BoE’s approach appears to favor an openness that invites innovation while maintaining robust oversight—a stance that resonates with global policy debates on digital money and regulatory harmonization.

According to Cointelegraph reporting linked to the Bank of England’s public communications, policymakers are engaging with industry to align innovation with safety standards. The takeaway for compliance teams and financial institutions is that tokenization is moving from pilot-test scenarios toward practical deployment, but only within a carefully designed regulatory envelope that preserves monetary stability and consumer protection.

Extending settlement hours: modernizing core settlement services

In a parallel move to modernize the settlement framework, the BoE proposed extending the operating hours of its core settlement infrastructure, with near-continuous availability. The plan aims to better accommodate tokenized assets and evolving digital-asset workflows, supporting more efficient cross-border payments and the settlement of securities as technology-enabled assets become more prevalent.

The proposal comes after remarks from Breeden that the monetary framework should not only accommodate innovation but actively support it. By offering longer settlement windows, the BoE intends to reduce friction for users and for industry participants operating in a rapidly digitizing market environment. The change would entail thoughtful risk controls and governance to ensure resilience during extended operations and to maintain the integrity of the settlement rails that underpin the UK financial system.

The policy direction aligns with a broader objective to position the United Kingdom as a competitive hub for digital-asset activity. A more flexible settlement timetable could enable smoother cross-border activity and make the domestic settlement system more attractive to international participants seeking predictable, regulated access to UK rails. For institutions, this shift implies updated operational risk frameworks, new liquidity management considerations, and enhanced reconciliation processes to cope with a longer window of activity.

Policy signals since Breeden’s City Week remarks indicate a willingness to adapt the UK’s regulatory and operational posture to a digital-money era. The BoE has also indicated that its stance on stablecoins—particularly pounds-denominated variants—has evolved in recent months as policymakers seek to balance industry engagement with prudent prudential considerations. The extended-hours proposal complements this approach by reducing settlement friction for those experimenting with or deploying tokenized deposits and related products.

Regulatory recalibration, stablecoins, and market-structure implications

The BoE’s evolving stance on stablecoins reflects a broader effort to calibrate risk while enabling practical use cases for digital assets. Officials have signaled a more flexible approach to reserve and backing requirements than previously proposed, emphasizing industry consultation and the need to avoid unnecessary barriers to adoption. The reexamination of consumer holding limits and other prudential safeguards is aimed at lowering friction for early adopters, provided robust safeguards are in place to maintain financial stability and consumer protection.

The CBDC conversation also features prominently in the Bank’s public discourse. The BoE’s CBDC Academic Advisory Group acknowledged that a retail CBDC is not strictly necessary to preserve monetary uniformity but could play a valuable supporting role as cash usage declines. This nuanced view reflects a policy environment that weighs the benefits of a potential digital-retail instrument against the complexities of design, privacy, access, and monetization of monetary policy transmission.

For institutions, the regulatory landscape remains a central factor in how and when to engage with tokenized products. Licensing regimes, compliance frameworks, and oversight expectations will shape the pace and manner of participation in digitized markets. While the UK signals openness to innovation, the emphasis remains squarely on resilience, risk management, and a coherent supervisory pathway that can adapt to evolving technologies and business models.

From a systemic perspective, the BoE’s actions illustrate how a major financial center is reconciling innovation with oversight. The move to 24/7 settlement capabilities, coupled with an adaptable stance on tokenization and stablecoins, signals a policy framework designed to attract institutional participation while maintaining rigorous standards for stability and consumer protection. This approach could influence the global regulatory narrative, encouraging other jurisdictions to pursue parallel reforms that balance fintech advancement with prudential safeguards.

Closing perspective

As tokenization and digital-money frameworks become more central to policy discussions, the Bank of England’s course suggests a staged, risk-conscious evolution of the UK’s financial plumbing. Institutions should monitor regulatory updates, settlement-infrastructure proposals, and the ongoing dialogue around stablecoins and CBDC to anticipate changes in licensing, compliance requirements, and operational preparedness. The overarching question remains whether the balance between innovation and stability can be maintained as these technologies mature and scale.