The Office of the Comptroller of the Currency (OCC) has licensed Protego Trust Bank to carry out custodial services for digital assets. This is the second approval the regulatory body has given in recent times for a crypto bank. The first institution to be licensed is Anchorage.
According to a press statement by the firm, the new license would allow the crypto bank to be able to use its platform to provide trading services plus issue new digital assets and also provide a peer-to-peer lending platform for their clients. The bank’s chief executive officer, Greg Gilman, expressed his delight at being one of the first digital banks to be approved by the authorities. He added that the OCC had made great strides as regards the crypto industry in such a short while too.
The chief strategy officer of the bank, Jonathan Silverman, was quick to point out that the bank would be able to offer its services to institutions that would be looking to store their assets in a crypto bank that is recognized by the federal authorities. Chris Hunter, Protego’s head of business development, noted that the bank has already been able to secure over $1 billion in assets under its custody, showing that the bank is ready to hit the ground running.
The OCC however gave the bank an eighteen months ultimatum to meet all the necessary regulatory requirements that would convert it into a full national bank. This is because its current license is only a conditional approval which means certain criterias still have to be met by the bank before it gets the full nod of the authorities.
Protego is the first digital asset–focused trust company chartered in Washington state. Other digital asset companies like crypto exchange firm Kraken and de novo bank Avanti, have recently received state charters in Wyoming.