Community banks are suing the OCC 21 trust bank charters, 13 issued to crypto companies The lawsuit was filed last Friday in federal court in Washington These charters allow nationwide operations and override state consumer protections The companies that received them don’t have deposit insurance and aren’t subject to the Community Reinvestment Act Capital and liquidity standards are bypassed too The most notable charter was issued to Circle in July The person who wrote the explanatory letter is Gould, who’s now sitting as Comptroller Back in 2021, when he was Chief Legal Counsel, he personally turned this backdoor into official rules Circle closed at 81 on Friday, half of its peak a year ago I’m betting no new charters will be approved until this lawsuit is settled