Erebor Bank Granted Provisional Approval From OCC For National Bank Charter License

The OCC (Office of the Comptroller of the Currency) has announced that it has granted Erebor Bank a provisional license.

Erebor is a stablecoin-powered bank that had originally applied for a national U.S. banking charter license earlier this year to operate nationwide. It had gathered attention after it had been reported that it had received investments from successful entrepreneurs such as Palmer Luckey (Anduril) and Joe Lonsdale (Palantir, 8VC).

Reacting to the announcement, Comptroller of the Currency Jonathan Gould commented:

“Erebor is the first de novo bank to receive a preliminary conditional approval since I arrived at the OCC. I am committed to a dynamic and diverse federal banking system, and our decision today is a first but important step in living up to that commitment. Today’s decision is also proof that the OCC under my leadership does not impose blanket barriers to banks that want to engage in digital asset activities. Permissible digital asset activities, like any other legally permissible banking activity, have a place in the federal banking system if conducted in a safe and sound manner. The OCC will continue to provide a path for innovative approaches to financial services to ensure a strong, diverse financial system that remains relevant over time.”

While this is a conditional and provisional status, it is a positive development for founders, as Erebor will seek to continue supporting startups across emerging technologies, including efforts across blockchain and web3. This type of loan financing was previously supported by SVB (Silicon Valley Bank) before its collapse in 2023.