The First Crypto US Bank: Kraken Received Licensing From The Wyoming Banking Board

  • The Wyoming Banking Board has voted to approve an application for a special purpose depository institution (SPDI) charter of Kraken.

 

  • In essence, Kraken has officially become the very first cryptocurrency exchange to become a newly chartered bank in the US since 2006, according to a NASDAQ report.

 

  • This means that the exchange will get access to the existing federal payments infrastructure.

 

  • It will also allow Kraken to further integrate funding and banking options to its clients, said the managing director of the exchange and the CEO of Kraken Financial.

By becoming a bank we get direct access to federal payments infrastructure, and we can more seamlessly integrate banking and funding options for customers. – David Kinitsky said.

  • Additionally, the license will allow Kraken to provide its services to clients in more jurisdictions and won’t have to deal with the state-by-state compliance part.

 

  • The news comes less than two months after the Office of the Comptroller of the Currency (OCC) in the US issued a letter allowing U.S. Federal banks to offer crypto custody services.

 

  • The OCC had also revealed that its approval limits banks to a specific type of cryptocurrency custody. Hence, financial institutions can store copies of the private keys of their customers or hold the assets themselves in well-secured cold storage facilities.

 

The post The First Crypto US Bank: Kraken Received Licensing From The Wyoming Banking Board appeared first on CryptoPotato.

Publication date: 
09/16/2020 - 19:45
Disclaimer

The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.