Coinbase has secured final approval from the Office of the Comptroller of the Currency (OCC) to charter its new federally regulated trust company.

Named Coinbase National Trust Company, this entity lets the exchange expand its crypto custody business under federal oversight.

According to Coinbase, the OCC approved its application last Friday. Custody is a core part of the company’s business, and it has safeguarded digital assets for more than 14 years.

This charter is intended to bring consistent federal oversight to Coinbase’s custody services and strengthen the regulatory framework under which it serves customers.

As crypto becomes more embedded in the financial system, Coinbase views this approval as a step towards aligning digital asset custody with traditional infrastructure relied upon by institutions and individuals.

Federal oversight builds on Coinbase’s existing work with the New York Department of Financial Services (NYDFS).

Coinbase Inc. received its BitLicense in 2017. A year later, New York approved a limited purpose trust charter for Coinbase’s custody subsidiary.

The company said its work with the NYDFS helped it establish and uphold standards for security, compliance and customer protection.

Following the OCC approval, Coinbase National Trust Company’s activities now sit within a consistent federal framework that draws on this foundation.

“Coinbase has long believed that engaging constructively with regulators is essential to building products and services that our clients can trust,”

the company said.

Featured image: Edited by Fintech News Switzerland, based on image by Coinbase via its website and saurabh Jainth via Magnific.