Today In Digital-First Banking: OCC Issues Stablecoin Guidance For Banks; Deutsche Bank, PNC Plan Branch Closures
In today’s top news in digital-first banking, the Office of the Comptroller of the Currency (OCC) has issued stablecoin guidance, and Deutsche Bank intends to decrease the size of its brick-and-mortar footprint. Plus, Mesh Payments has launched a cardless payment offering that makes recurring and one-time payments easier.
The Office of the Comptroller of the Currency (OCC) has issued guidance on stablecoins, which are digital currencies backed by traditional currency. A letter by the OCC published on Monday (Sept. 21) clarified the authority for federal savings associations and national banks to keep reserves for clients who issue stablecoins. Acting Comptroller of the Currency Brian Brooks said these companies engage in stablecoin-related transactions each day involving billons.
Deutsche Bank plans close 20 percent of its branch offices in Germany. The bank’s move comes on the heels of news that Commerzbank would not reopen 200 offices that were closed amid the pandemic. In addition, PNC Bank intends to cut the number of its branch offices through 2021. About 160 locations will close by 2020’s end and an additional 120 are slated to close next year. The firm has also opened at least 13 “solutions centers” that provide an alternative to the usual bank location.
Mesh Payments has debuted a cardless payment offering for firms that makes subscription and one-time payments easier. The firm said that the product provides a complete view and supervision over business spending, while allowing for reconciliation, orchestration and information on spending. Mesh Payments pointed out that small and medium-sized businesses (SMBs) use over 40 subscription-based software packages on average, and many of them are key to business operations.
TravelBank will work with U.S. Bank to connect the former’s expense and travel management technology with the U.S. Bank Instant Card. The collaboration will let program administrators issue Instant Cards straight from their expense management platforms, while allowing them to immediately place virtual cards in a digital wallet with a budget approved ahead of time and set expenditure restrictions.