Why Does Everyone Want to Be a Bank Now?
Fintechs and other consumer companies are eager to take advantage of the changing regulatory mood.
Illustration: Andrea Chronopoulus
A US bank charter has become one of the most sought-after assets among financial-technology companies around the world. Stablecoin issuers, payment processors and other fintech firms covet a banking arm in order to have access to a stable, inexpensive source of financing and are jockeying for formal licenses.
While the practice of fintechs pursuing those licenses isn’t new, applications are rolling in at an increasing pace during President Donald Trump’s second term in the White House. Companies are capitalizing on what many business leaders see as a permissive regulatory climate under the new administration. According to a report from the Klaros Group, there were 13 federal bank charter applications in 2025 as of Oct. 17, the highest total since 2020. In December, payments giant PayPal Holdings Inc. became the latest big name to apply for a bank charter.