Coinbase has received conditional approval from the U.S. Office of the Comptroller of the Currency (OCC) to operate a trust bank, CNBC reported on Wednesday.

If the approval process is finalised, Coinbase will be able to run custody services and payment-related products under federal supervision.

Coinbase said it will not convert into a commercial bank. It will not take retail deposits and will not apply fractional reserve banking.

The conditional approval is a preliminary agreement that Coinbase’s application meets key regulatory requirements. Coinbase must meet additional conditions required by the OCC before operating as a trust bank.

If the charter is finalised, Coinbase will be directly supervised by the OCC rather than regulated at the state level.

Coinbase is also pursuing a strategy to expand stablecoin payments. Coinbase is focusing on expanding Circle’s USDC as a global payment method. Last year it launched Coinbase Payments for platforms and merchants, offering wallet integration and stablecoin payment functions, and it also released a payment protocol with Shopify based on its own blockchain, Base.

Brian Armstrong (브라이언 암스트롱), Coinbase’s chief executive officer, set out a goal of making USDC the world’s top stablecoin. He also presented a vision of making Coinbase the world’s top financial services app within a few years.