coindesk.com
Zerohash, the crypto infrastructure company that serves high-profile partners such as Morgan Stanley's E*Trade, BlackRock and Stripe, returned to the applicant pool for a U.S. banking charter after the federal regulator handed back its first effort.
The U.S. Office of the Comptroller of the Currency, which regulates and charters national banks and trust companies, had formally returned the Chicago-based firm's first application last month, meaning the effort had some material deficiencies. But Zerohash said it would be quickly starting a new application with a significantly narrower focus.
That trust application is now awaiting the OCC's review, and a public comment period is open until September 17. Many other crypto-native firms have recently received preliminary trust charters, and two were denied, but this is the only one returned.
A spokesperson for the company told CoinDesk earlier this month that they intended to refile again in August, but that it would be less ambitious and represent "a more focused approval of national trust activities aligned with our intended rollout timeline." However, neither Zerohash nor the OCC responded to requests for comment on this new effort.
Zerohash's earlier comments contended that the misfire on the first application was handled "in coordination with the OCC" and that it wasn't "a substantive decision on the merits of our application."
The company is already a state-chartered trust bank and handles crypto infrastructure needs for several major financial firms, including Franklin Templeton, Stripe, Interactive Brokers and DraftKings.
Zerohash is also involved in a California wrongful termination court case in which its former chief compliance officer claims he was fired after uncovering several compliance problems.
Read More: Morgan Stanley's infrastructure partner Zerohash rebuffed in pitch to be U.S. trust bank