Cryptocurrency and digital assets are growing exponentially at present times, which has attracted the attention of lawmakers and regulatory authorities. As the governments begin to focus on crypto businesses’ regulatory aspects, it is vital for crypto firms to get authorization from federal agencies and institutions.
Protego receives a national charter from the Office of Comptroller for Currency.
Protego Becomes Second National Chartered Crypto Bank
The institutional crypto custodian, Protego Trust Bank has been granted conditional approval for the national charter to keep digital assets from the OCC. Protege is one of the only two custodians to receive federal charter approval from the Office of Comptroller of Currency. Anchorage received similar approval last month. Digital assets exchange Kraken also received a similar charter.
The conditional approval is granted on the grounds that Protego fulfils all the legal requirements within 18 months to convert to a national bank. As per OCC press release, the conditional approval is granted to the Protego Trust Company for converting to Protego Trust Bank, National Association. OCC clarified that the permission is given after strict legal compliance review and check for the conversion application.
Protego said that “Protego Trust Bank N.A. is the first financial institution that handles trading, lending, issuance and custody of digital assets to receive approval from the federal regulator.” the press release further noted that the Protego Trust Bank would be built on Blockchain technology and offer a host of services to the clients. Apart from acting as a custodian for digital assets, it will also provide a trading platform to its clients. The bank will also issue digital assets along with facilitating lending and borrowing funds.
Last month Anchorage grabbed news headlines for becoming the first national crypto bank to have approval from OCC. With the growing penetration of cryptocurrency and digital assets, it is imperative for the federal agencies to recognize the impact of such institutions. OCC has lately issued interpretative letters that help the banks and financial institutions to custody crypto and participate in the growing blockchain technology. After Anchorage, OCC has now granted a conditional charter to Protego paving the way for more crypto firms to join the league.
Disclaimer
The information discussed by The Coin Magazine is not financial advice. This is for educational and informational purposes only. Any information or strategies are thoughts and opinions relevant to accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Do your due diligence and rating before making any investments and consult your financial advisor. The researched information presented we believe to be correct and accurate however there is no guarantee or warranty as to the accuracy, timeliness, completeness. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright The Coin Magazine All rights reserved.
