Sony Bank has received conditional U.S. approval from the Office of the Comptroller of the Currency (OCC) to launch a dollar-backed stablecoin. The Japanese firm will establish a $40 million national trust bank, Connectia Trust, to issue the token for use in its gaming and entertainment ecosystem, targeting a 2027 launch. The move faces opposition from banking groups and Senator Elizabeth Warren over concerns it sidesteps traditional banking rules.
OCC conditional approval
- ▪The OCC has also granted trust charters to other crypto-related firms, including Circle, Ripple, Paxos, and Fidelity Digital Assets
- ▪The approval is preliminary, and Sony Bank cannot conduct business activities until it obtains final approval from the OCC
- ▪Sony Bank received conditional approval from the U.S. Office of the Comptroller of the Currency (OCC) to establish a national trust bank
Connectia Trust structure
- ▪Sony Bank plans to establish a wholly owned subsidiary named Connectia Trust, National Association, in July 2026
- ▪Connectia Trust will be established with $40 million in capital
- ▪The sole purpose of Connectia Trust is to issue and manage a U.S. dollar-denominated stablecoin
Sony's strategic rationale
- ▪By issuing its own token, Sony aims to reduce payment processing fees that come with card payments
- ▪Sony intends for U.S. customers to use the stablecoin for payments across its ecosystem, including for video games, anime, and subscriptions
- ▪The trust is meant to build a "medium- to long-term business foundation" for Sony Financial Group's digital-asset business
- ▪Obtaining a national trust charter makes Sony the "issuer of record," giving it direct communication with regulators and control over its compliance program
Banking industry opposition
- ▪Senator Elizabeth Warren has argued that the OCC improperly granted national trust charters to firms that do not qualify under the National Bank Act
- ▪In response to criticism, the crypto advocacy group Digital Chamber stated that critiques of the OCC's chartering authority misread the statute
- ▪The Bank Policy Institute raised concerns that the charter could violate the long-standing separation of commerce and banking
- ▪The Independent Community Bankers of America opposed the charter, citing risks from a lack of deposit insurance for customers
Regulatory path forward
- ▪Connectia Trust is expected to begin operations in 2027, pending final approvals
- ▪In addition to final OCC approval, Sony must also obtain authorization from Japanese regulators before launching
- ▪A national trust charter allows a firm to custody assets and issue stablecoins but bars it from accepting cash deposits or making loans
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