Cryptocurrency startup Anchorage Hold LLC has received conditional approval from the US currency control office to become an official federal government bank.
Qualified Custodian for Institutional Investors
Anchorage, now officially known as the National Association of Anchorage Digital Bank, was the first cryptocurrency company to receive the Bundesbank charter. It is an essential milestone in cryptocurrency history adoption. The accord means that Anchorage is now the first authorized digital asset bank in the US to meet the same standards and approvals as traditional banks.
A national banking charter forms the Anchorage Digital Bank based on the same regulations as other national banks. The fastest way to get monitored services is a first for any traditional financial institution looking to provide its customers with digital assets access.
Although Anchorage does not seek to set up offices in the local environment, the charter allows the company to provide services such as trading and loans.
OCC said that in awarding this charter, OCC applies rigorous review and the same standards applicable to all charter applications. By introducing these candidates into the federal banking system, banks and industry will benefit from the OCCs rich experience and expertise.
Anchorage was founded in 2017 and offered institutional investors a crypto native custody service for digital assets. The custodian holds client property or money on their behalf and is responsible for its financial products security. The companys proposals have a design to help institutions better protect their investments while extracting more of their assets.
Future Partnerships With Anchorage
Crypto firms have long struggled to become qualified trustees in terms of how digital asset service providers can comply with aspects of the Securities Investor Protection Act of 1970 – specifica ...
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