Circle up after stablecoin issuer applies for US trust bank license

** Stablecoin issuer Circle's shares rise ~2.1% to $185.16 premarket

** Circle after market on Monday said it is applying to create a national trust bank in the U.S., confirming an earlier Reuters report

** If the charter is granted, it would enable Circle to act as a custodian for its own reserves and hold crypto assets on behalf of institutional clients

** Stablecoins, a type of cryptocurrency designed to maintain a constant value, usually a 1:1 dollar peg, are commonly used by crypto traders to move funds between tokens

** CRCL issues USDC, the second largest stablecoin globally by market value

** The move comes as Congress gets closer to passing a bill to create a federal regulatory framework for stablecoins

** CRCL went public in June in a blockbuster U.S. market debut

** Shares closed the previous session at $181.29 vs IPO price of $31 apiece

** Wall Street brokerages had mixed recommendations on its stock they began coverage on Monday with some analysts expressing concerns about elevated valuation