Recent developments surrounding Ripple and its application for a trust bank charter are prompting reactions from traditional banking groups. In particular, the Independent Community Bankers of America (ICBA) has expressed its concerns in a letter directed to the Office of the Comptroller of the Currency (OCC).
ICBA's Letter and Its Contents
On August 6, 2025, BankXRP (@BankXRP), a prominent figure in the XRP community, shared a seven-page letter from ICBA opposing Ripple's proposal to create a national trust bank, referred to as Ripple National Trust Bank (RNTB). This letter reflects the concerns of traditional banks regarding the structural changes that Ripple and XRP could bring.
Legal and Procedural Arguments
The main arguments from ICBA are based on legal and procedural issues. The group claims that RNTB's activities might violate the National Bank Act by effectively accepting deposits and providing services outside the intended scope of national trust banks. The letter also points out that stablecoins like RLUSD pose risks to the stability of the banking system.
Ripple's Strategy and Its Implications
Furthermore, ICBA expresses discomfort with Ripple's increasing role in digital finance and its efforts to position XRP as a key part of institutional payments and stablecoin infrastructure. The letter highlights concerns that Ripple's strategy might threaten the market position of traditional banks.
ICBA's letter to the OCC demonstrates a clear unwillingness of traditional financial institutions to accept XRP and RLUSD as competitors in the banking space. Ripple has not yet responded to these accusations, but the ICBA's stance indicates a pronounced fear regarding the growing presence of modern digital assets.
