Sony's Bold Move: Tech Giant Pursues U.S. Bank License for Its Own Stablecoin

Sony's Bold Move: Tech Giant Pursues U.S. Bank License for Its Own Stablecoin

Sony has surprised Wall Street by applying with the U.S. Office of the Comptroller of the Currency (OCC) to create a national cryptocurrency bank through its subsidiary, Connectia Trust. This step puts the Japanese tech company on track to be among the first major global entities to issue a U.S. dollar-backed stablecoin in a federally regulated environment.

The application proposes to issue a stablecoin pegged to the U.S. dollar, manage the reserve assets that support it, and offer digital asset custody and management services. Sony joins notable companies like Coinbase, Circle, Paxos, Stripe, and Ripple, all waiting for OCC approval to operate as national digital banks.

If granted approval, Sony would mark a significant milestone as the first large tech company to obtain a U.S. bank charter specifically aimed at stablecoin issuance. This initiative underscores the evolution of stablecoins from a niche crypto product to a widely recognized financial tool, especially following the U.S. passing the GENIUS Act, which created a standardized federal framework for stablecoin issuers, ensuring they are fully backed by cash or Treasuries, and safeguarding token holders' rights.

OCC’s Role in the Future of Crypto Banking

Sony’s filing reveals Connectia Trust intends to issue a USD-pegged stablecoin and maintain corresponding reserves backed by cash or Treasuries while providing digital asset custody and management services. The company asserts that these functions align with previously approved activities for national banks by the OCC.

In their application, Sony Bank stated, “During its initial phase, Trust Bank plans to engage in digital asset activities that the OCC has determined permissible under current national bank legal authorities.” This includes issuing dollar-pegged stablecoins and managing reserve assets as well as providing non-fiduciary digital asset custody and fiduciary asset management for affiliates.

Currently, Anchorage Digital Bank is the only crypto-native institution that has secured a full de novo OCC charter, though it faced compliance issues that resulted in a temporary cease-and-desist order in 2022, which was lifted this August.

The OCC, independent from the U.S. Treasury, is vital here because it is the sole regulator empowered to issue national bank charters, allowing firms to legally perform banking operations across all U.S. states under a single license. An OCC charter has become a coveted route to legitimacy, granting crypto companies access to the Federal Reserve’s payment systems and enhancing credibility with institutional partners.

🏦 The US Senate has confirmed former crypto executive Jonathan Gould as the OCC chief in a closely contested 50–45 vote, marking the first permanent head since 2020. #OCC #JonathanGould Source

The OCC has received over 15 applications from fintech and crypto companies pursuing trust charters, indicating a renewed regulatory openness under the leadership of Jonathan Gould, who was confirmed earlier this year and has a background in blockchain. Gould has stressed that the OCC “does not impose blanket barriers” to banks involved in digital asset activities.

His confirmation signaled a shift in policy: in May, the OCC issued new guidance allowing national banks to buy, sell, and hold cryptocurrencies on behalf of clients, as long as they meet safety and risk management standards. This transformation has made the OCC a more crypto-friendly regulator compared to its previous cautious stance.

🏦 The OCC now allows banks to manage customer-held crypto assets, facilitating buy and sell transactions, and outsourcing custody services to third parties. #Banking #DigitalAssets Source.

Recently, the agency approved Erebor Bank for conditional national status, demonstrating a willingness to support digital-first institutions.

Sony's Connectia Trust: A Game Changer in Crypto Banking

Recent regulatory clarity has led to an influx of OCC applications from financial and tech firms eager to take advantage of what has become a profitable sector within crypto. The stablecoin market capitalization now surpasses $300 billion, primarily led by Tether (USDT) and Circle’s USD Coin (USDC), according to DefiLlama.

Stablecoin Market Capitalization

Predictions suggest that the stablecoin market could siphon off $1 trillion from global banks by 2028, making Sony's entrance well-timed to capitalize on a rapidly growing segment of the digital economy.

Should Connectia Trust receive approval, it will join a new wave of federally chartered digital asset banks. The implications extend beyond finance. Sony Bank, already recognized for stable profits from mortgage lending and foreign currency operations, has been aggressively diversifying into digital banking. It recently launched a next-generation banking system and the Sony Bank CONNECT app, linking its services to various Sony Group platforms and Web3 infrastructure.

Analysts believe the stablecoin initiative may lay the groundwork for Sony's broader ecosystem strategy. Similar to JPM Coin, Connectia Trust’s tokens might initially serve as internal settlement assets for treasury transactions, cross-border payments among subsidiaries, or digital transactions within Sony’s entertainment ecosystem.

This could lead to stablecoin-based payments across platforms like PlayStation, Sony Music, and Sony Pictures, or instant settlements between Sony's global branches. Such alignment would create a significant advantage in the use of programmable money, merging Sony's financial operations with its global entertainment and gaming sectors, representing a potential first for a consumer tech giant.

Importantly, Sony has been engaged in the blockchain space for some time. Earlier this year, Sony Group introduced Soneiun, an Ethereum layer-2 network developed in cooperation with Startale Group, broadening its engagement in decentralized technologies.

Ethereum Layer-2 Network

The project was initially announced in 2023 and currently holds over $75.87 million in total locked value.

Key Takeaways

Sony has applied for a U.S. bank license to create Connectia Trust, a national crypto bank that plans to issue a USD-pegged stablecoin.
This move positions Sony as a pioneer among global corporations in the stablecoin market, reflecting the evolution of stablecoins into recognized financial instruments.
If approved, Connectia Trust will capitalize on a rapidly growing stablecoin market currently dominated by major players like Tether and USD Coin.
The OCC's new leadership under Jonathan Gould signals a more accommodating attitude towards crypto banking and asset management by national banks.
Sony’s blockchain initiatives, including the launch of Soneiun, reflect its commitment to expanding into the digital finance and decentralized technology sectors.

The exploration into stablecoins by companies like Sony indicates a significant shift in the crypto landscape, potentially leading to a more integrated financial ecosystem that includes both traditional and digital currencies.