Wise, the UK-based cross-border payments firm, plans to resubmit its application for a US bank charter after federal regulators rejected its initial bid this week over compliance concerns, the company said.
Regulators Cite Compliance Risks
The Office of the Comptroller of the Currency (OCC) denied Wise's application, pointing to concerns around anti-money laundering and counter-terrorism financing controls. The rejection stands out given the regulator's recent willingness to grant similar charters to a wave of digital asset companies over the past year.
Wise has indicated it intends to address the OCC's concerns and file again, signaling the company remains committed to expanding its regulated footprint in the United States. A national bank charter would allow the firm to operate more directly within the US financial system rather than relying on partnerships with existing banks.
A denial today does not have to mean a defeat tomorrow — Wise is already preparing its next move.
The GENIUS Act Angle
The resubmission is expected to proceed under the framework established by the GENIUS Act, landmark legislation aimed at creating clearer rules for stablecoins and digital payment providers. The law has opened new pathways for fintech and crypto-adjacent companies seeking federal oversight.
The OCC's contrasting treatment of applicants has drawn attention, as the agency approved charters for several digital asset firms while denying Wise's request. Critics may question why a well-established payments company faced tougher scrutiny than newer crypto entrants.
Key points of the situation include:
- The OCC rejected Wise's initial charter application this week
- Regulators cited AML and CFT risk concerns
- Wise plans to resubmit under the GENIUS Act framework
- Similar charters were recently granted to digital asset companies
For Wise, securing a US charter could strengthen its position in one of the world's largest payments markets, while the outcome of its second attempt may offer clues about how regulators intend to apply the new stablecoin rules to established international firms.