On July 24, 2026, Wise revealed that the Office of the Comptroller of the Currency (OCC) rejected its application for a national trust bank charter. The fintech quickly announced plans to pursue approval under the emerging GENIUS Act, a federal framework designed to regulate stablecoin issuance.
The market responded sharply: Wise’s shares tumbled roughly 10% the same day, reflecting investor concerns over the uncertain path ahead. The initial denial stems from two main issues: a Federal Reserve pause on granting master accounts to uninsured trust banks, which affects Wise’s access to direct Fed services, and regulatory scrutiny over previous anti-money laundering (AML) weaknesses flagged in a July 2025 consent order.
What’s Next with the GENIUS Act?
The GENIUS Act offers a potential breakthrough by allowing companies like Wise to issue dollar-backed stablecoins under national banking supervision. If approved, Wise could benefit from clearer oversight, the ability to custody stablecoin reserves under OCC authority, and a national operational scope. However, key details remain fluid, including whether master account access will be granted and how regulators will ensure compliance with AML and audit standards.
The success of Wise’s GENIUS charter application will pivot on its reserve management, redemption processes, on-chain controls, and overall regulatory comfort. Any delays or policy shifts could derail the timeline, while market trust in Wise’s compliance remains critical.
