Peter Thiel, Palmer Luckey, And Joe Lonsdale Backed Crypto-Friendly Erebor Bank Gets Preliminary Nod From US Regulator - Grayscale Bitcoin Mini Trust (BTC) Common units of fractional undivided benefic

Core Insights - Erebor Bank, a new crypto-focused financial institution, has received preliminary conditional approval for a national bank charter from the OCC, marking a significant development for the banking and crypto sectors [1][2]. Group 1: Approval Details - The OCC's approval establishes a potential path for federally regulated banks to engage with digital assets, emphasizing that the approval does not impose a blanket barrier for innovative financial services [2][3]. - Erebor Bank is the first de novo bank to receive preliminary approval under Comptroller Jonathan V. Gould's tenure, indicating a shift towards accommodating digital asset activities within the federal banking system [3]. Group 2: Bank Operations and Target Market - Erebor Bank aims to be a full-service institution targeting technology companies and ultra-high-net-worth individuals utilizing virtual currencies, and it has received approval to hold limited amounts of non-asset-backed virtual currencies for transaction fees [4]. - The bank was conceived to fill a market void for tech and crypto startups following the collapse of Silicon Valley Bank in 2023, and it will operate without a holding company after merging with its organizing entity, Erebor Group, Inc. [6]. Group 3: Conditions for Final Approval - The OCC's approval is preliminary and conditional, requiring Erebor to meet strict pre-opening requirements, including maintaining a minimum 12% Tier 1 Leverage ratio for its first three years of operation [5].