Block Applies to Launch Builders Bank & Trust — A Custody-Only National Trust Bank

Jack Dorsey's fintech giant Block has applied to federal regulators to charter a new institution called Builders Bank & Trust, a federally regulated national trust bank focused exclusively on custody and fiduciary services. Crucially, the proposed bank would not accept deposits or make loans — positioning it as a narrow, specialized entity rather than a traditional retail bank.

The primary pitch is crypto infrastructure: Builders Bank & Trust would provide custody services for stablecoins and bitcoin, areas where Block already has significant operational experience through its Cash App and other products. The move is framed as a way to put Block's existing digital asset activities under a formal federal supervisory framework, rather than operating through a patchwork of state-level licenses.

Block tapped Lee Woolley, currently its digital asset strategy lead, to serve as president and CEO of the new bank if the charter is approved. Woolley pointed to Block's background in digital assets, its existing banking subsidiary Square Financial Services, and the team it has assembled as reasons the institution is well positioned. The application now sits with the Office of the Comptroller of the Currency, which will determine whether to grant the charter.