news.bitcoin.com
The U.S. has approved Erebor Bank — a $275 million digital-first venture backed by Palmer Luckey and Peter Thiel — in the first major Trump-era nod to crypto-friendly banking.
U.S. regulators granted preliminary approval to Erebor Bank, a new institution founded by Anduril’s Palmer Luckey and venture capitalist Joe Lonsdale, with support from Peter Thiel’s Founders Fund and Haun Ventures, the Financial Times (FT) reported on Wednesday. Positioned to serve America’s “innovation economy,” Erebor will cater to companies in cryptocurrency, artificial intelligence (AI), defense, and advanced manufacturing. Its full-digital model will be headquartered in Columbus, Ohio, with an additional office in New York.
The Office of the Comptroller of the Currency (OCC) approved Erebor’s national bank charter just four months after its June filing. OCC chief Jonathan Gould said the approval shows regulators “do not impose blanket barriers” on digital-asset banks. Erebor’s founders — major Trump donors — insist there was no special treatment in the process. The bank will offer traditional and crypto-focused services, including stablecoin custody, and is led by CEO Owen Rapaport and President Mike Hagedorn. Erebor’s launch follows Silicon Valley Bank’s 2023 collapse, aiming to restore trust for startups left stranded. One insider told FT the goal is “normal banking without screwing everyone over with undue risk.”
FAQ 💡
- Who’s behind Erebor Bank? Palmer Luckey and Joe Lonsdale, with Peter Thiel’s backing.
- What’s its focus? Serving crypto, AI, defense, and tech startups.
- Where’s it based? Columbus, Ohio, with a New York office.
- When will it open? After completing compliance checks.