Wise plans to file a new application for a U.S. national trust bank charter under the GENIUS Act after the Office of the Comptroller of the Currency rejected its initial bid.

The OCC’s July 21 decision ended the payments company’s attempt to establish Wise National Trust in Austin, Texas. Wise disclosed the outcome on July 24 and said its existing U.S. services would continue without change. The company continues to operate through money-transmitter licences across 48 states and four territories, a state-based model that is separate from the federal trust charter it sought.

The regulator cited weaknesses in anti-money laundering controls, gaps in management, and limited national banking experience in denying the application. Wise said it had strengthened its financial-crime controls since filing the original plan and would address the OCC’s findings in its next submission.

Wise’s new filing will rely on the federal framework for payment stablecoins created by the GENIUS Act, rather than the structure proposed in its original June 2025 application. The company said the earlier model depended on access to Federal Reserve payment systems that is no longer practical. Wise’s London-listed shares fell as much as 10% after the denial became public.

OCC cites compliance and management concerns

In its decision, the OCC said Wise had not shown that the proposed trust bank could meet U.S. legal and regulatory requirements. The agency focused on weaknesses in anti-money laundering and countering the financing of terrorism controls. It also said Wise U.S. had a record of failing to meet rules that apply to money services businesses.

The proposed bank planned to rely heavily on Wise U.S. and other group companies for compliance functions. The OCC said that structure raised concerns about whether Wise National Trust would be able to operate in a safe and compliant manner.

The regulator also questioned the experience of the proposed directors and managers. According to the OCC, the team did not demonstrate sufficient knowledge of national banking rules, fiduciary services, or AML/CFT operations.

Wise National Trust had planned to provide multi-currency stored-value accounts, payment processing, and fiduciary services. The OCC said approving the application would conflict with its charter policies. However, the denial does not prevent Wise from filing another application after addressing the identified issues.

Wise moves toward the GENIUS Act framework

Wise gave a separate explanation for changing its approach. The company said the Federal Reserve has generally paused account access for uninsured trust banks while it develops a new payment-account policy.

“With the Federal Reserve generally pausing account access for an uninsured trust bank, the approach in our application became non-viable,” Wise said.

The original plan was designed to allow Wise to settle U.S. dollar payments more directly and reduce reliance on partner banks. Wise now plans to apply under the GENIUS Act, which established a federal licensing and supervision system for payment stablecoin issuers.

The company has not said it intends to launch its own stablecoin. William Blair analysts said they do not expect a major change in Wise’s broader position. They described the company as “agnostic of the rail,” meaning it remains focused on lowering cross-border payment costs whether transfers use traditional systems or digital assets.

Stablecoin rules are still pending

The GENIUS Act became law in July 2025. It sets reserve, redemption, reporting, consumer protection, and compliance requirements for approved payment stablecoin issuers. The law is scheduled to take effect on January 18, 2027, or 120 days after regulators publish final rules, whichever comes first.

The OCC published its main proposed rule in March, while the Treasury Department later proposed AML and sanctions standards. Final rules were still pending when Wise announced its new plan.

As crypto.news reported, regulators missed the July 18 rulemaking deadline, leaving key details unresolved. Wise will need to explain what activities its new entity would conduct, how it would use stablecoins, and how it would meet the stricter AML/CFT standards expected for permitted issuers.

A new application will also need to explain how the charter would function without the unrestricted Federal Reserve access assumed in the earlier model. Until final rules are issued, applicants are operating against proposed standards rather than a completed supervisory framework.

Wise enters a crowded charter process

Wise is joining a broader federal licensing process involving digital asset companies. The OCC has approved several digital asset firms for national trust charters during the past year. Circle received final approval in July 2026 after gaining conditional approval in December. Ripple, Paxos, BitGo, Fidelity Digital Assets, Crypto.com, Bridge, and Coinbase have also received conditional decisions or entered the process.

The approvals have drawn opposition from banking groups and some lawmakers. Crypto.news reported that the Bank Policy Institute retained outside lawyers while considering a challenge to the OCC’s trust-charter policy.

Wise’s case differs because the regulator issued a direct denial tied to the company’s compliance record and management plan. A GENIUS Act application may provide a different route, but Wise would still need to satisfy OCC standards before obtaining a charter.