Ripple Eyes Federal Banking Status as Crypto Regulation Tightens

• Ripple’s move to secure the federal banking status show the signal of a strategic push for institutional legitimacy and deeper financial integration.
• Short-term XRP gains show investor optimism, however long-term impact depends on regulatory progress and adoption by U.S. banks.

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Following previous Crypto News Flash (CNF) coverage on Ripple eyeing the 14% of SWIFT’s trillions for XRPL, currently, Ripple Labs, the payment company employing blockchain technology behind XRP and the RLUSD stablecoin, took a huge step toward registration with the traditional financial system when it asked the U.S. Office of the Comptroller of the Currency (OCC) for a national bank charter.

As the move was confirmed via CEO Brad Garlinghouse’s post on X and reported by Reuters and the WSJ, this move would mark one of the first times a crypto-native company positions itself as a federally regulated bank—joining Circle and Anchorage Digital in the pursuit of mainstream legitimacy. As stated in a recent tweet:

Earlier in the week via @StandardCustody, we also applied for a Fed Master account — while Congress is working towards clear rules and regulations, and banks (in a far cry from the years of Operation Chokepoint 2.0) are leaning in, this access would allow us to hold $RLUSD reserves directly with the Fed and provide an additional layer of security to future-proof trust in RLUSD.

Moreover, the Ripple’s unit, Standard Custody & Trust, has also applied for a Federal Reserve Master Account, enabling it to hold reserves directly at the Fed.

Implications for XRP’s Market Price

The event of Ripple’s pursuit of a national bank charter and Federal Reserve Master Account has already had a positive impact on XRP’s market performance so far.

Specifically, according to the data sources, following the announcement on July 2, 2025, XRP rose over 3%, trading above $2.20, reflecting investor confidence in Ripple’s regulatory procedures and its potential to maximize the XRP Ledger’s features utilization.

However, it could be the case that the removal of “reputational risk” oversight by the Federal Reserve in June 2025 further boosted XRP by 9%, as it opened the door for U.S. banks to adopt Ripple’s technology for international settlements.

As of now, XRP is trading at $2.28, increased by 3.98% in the past day and 4.14% in the past week, according to live data from CoinMarketCap. As for XRP investors, this short-term price gains and the potential of long-term institutional adoption indicate that a positive outlook—although risks such as regulatory settlebackness or market volatility may still remain. See the XRP price chart below.

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