TLDR
- Galaxy Digital applied to the OCC for a national trust bank charter, to be called Galaxy National Bank.
- GLXY stock was down more than 4% to $18.25 in premarket trading on Thursday.
- The New York-based bank would put custody, trading and staking under one federal framework.
- The OCC has conditionally approved charters for Circle, Ripple, Paxos, BitGo and Fidelity Digital Assets.
- Citigroup upgraded Galaxy to Buy and raised its price target from $26 to $28.
GLXY stock was down more than 4% to $18.25 in premarket trading on Thursday. The move followed news that Galaxy Digital applied for a national trust bank charter.
Galaxy Digital LP, a subsidiary, filed with the Office of the Comptroller of the Currency on October 29. The proposed lender would be called Galaxy National Bank and based in New York.
If approved, it would run as a federally regulated trust institution under OCC supervision. It would offer custody, trading and staking, plus fiduciary investment advisory services.
Clients nationwide would be served under a single federal framework. The application still needs OCC approval.
CEO Mike Novogratz said digital assets are becoming a bigger part of the global financial system. He called a national trust charter āan important next step.ā
Ripple and Circle Got There First
Galaxy is following other crypto firms into the OCCās queue. The agency has conditionally approved charters for Circle, Ripple, Paxos, BitGo and Fidelity Digital Assets.
Ripple won final approval for Ripple National Trust Bank earlier this week. CEO Brad Garlinghouse teased ābig newsā just before the companyās Swell event.
That bank will support the RLUSD stablecoin and offer digital asset custody to enterprises. Circle received final approval for First National Digital Currency Bank in July.
Regulators have pointed to innovation and competition as reasons to back the trend. National trust charters let firms offer fiduciary services under federal oversight.
Licenses Galaxy Already Holds
Galaxy says its application builds on more than 50 licenses across the U.S., Europe and Asia. Those include SEC-registered broker-dealer subsidiaries that are FINRA members.
It also has a CFTC-registered swap dealer subsidiary. A UK arm is authorized by the Financial Conduct Authority.
New Yorkās Department of Financial Services recently granted a Galaxy subsidiary a BitLicense and a Money Transmission License. That lets Galaxy offer regulated institutional trading and custody in the state.
The company says the charter would bring more of its services under one roof. It also expects to reach more clients as adoption grows.
Galaxy recently reported third-quarter 2026 results, swinging to net income of about $323 million. That makes the premarket dip a bit of a head-scratcher.
Citigroup upgraded Galaxy to Buy and lifted its price target from $26 to $28. GLXY was at $18.25 premarket on Thursday, down more than 4%, while the OCC reviews the application.
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