A group of major U.S. banks is considering suing the OCC for easing licensing requirements for crypto banks.

The Bank Policy Institute (BPI), an industry association representing 40 large banks including JP Morgan, Goldman Sachs, and Citigroup, is considering filing a lawsuit against the Office of the Comptroller of the Currency (OCC). The BPI argues that the OCC's move to make it easier for cryptocurrency and fintech companies to obtain national bank trust licenses could jeopardize the stability of U.S. consumers and the financial system. The BPI states that allowing such companies to provide banking-like services without subjecting them to the same stringent regulations blurs the legal boundaries of "banking" and increases systemic risk. Previously, the BPI had requested the OCC to reject the license applications of Circle and Ripple. Furthermore, World Liberty Financial, a crypto business run by the Trump family, has also applied for the license. Currently, the National Association of Bank Comptrollers of States (CSBS) and the Independent Community Bankers Association (ICBA) both oppose the policy, arguing that it could stifle competition and undermine financial stability.