|
WASHINGTON — The Federal Deposit Insurance Corporation (FDIC) today approved a deposit insurance application for Augustus National Bank, N.A. (Augustus National Bank), a newly chartered national bank to be headquartered in Dallas, Texas. The organizers of Augustus National Bank applied to the Office of the Comptroller of the Currency (OCC) for a national bank charter and received preliminary conditional approval on May 8, 2026.
Augustus National Bank’s business model will focus on providing deposit and lending products to digital asset companies, high-net-worth individuals, artificial intelligence companies, technology companies, and international financial institutions, as well as virtual currency, payment, and treasury services. Augustus National Bank also plans to issue a stablecoin through a subsidiary, if approved as a permitted payment stablecoin issuer under the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, and provide stablecoin-related services (e.g., issuance and redemption of partner stablecoins, custody, conversion, and payment functionality). Funding will consist of demand deposit accounts, for-benefit-of accounts, and correspondent accounts.
Applications for deposit insurance are evaluated under a statutory framework of seven factors that include: the financial history and condition of the institution; the adequacy of the institution’s capital structure; the future earnings prospects of the institution; the general character and fitness of the management of the institution; the risk presented by the institution to the Deposit Insurance Fund; the convenience and needs of the community to be served by the institution; and whether the institution’s corporate powers are consistent with the purposes of the Federal Deposit Insurance Act. The FDIC found that Augustus National Bank satisfied the statutory factors for approval, subject to certain conditions.
The FDIC approval order expires if Augustus National Bank is not established within twelve months, unless extended by the FDIC.
|
