Cryptocurrency-friendly bank Custodia Bank, founded by Bitcoin (BTC) advocate Caitlin Long, has launched a Bitcoin custody platform.
The company posted on X (formerly Twitter) on November 7 declare Custodia Bank has launched a Bitcoin custody service aimed at businesses including trustees, investment advisers, fund managers and corporate treasurers.
The announcement notes that the launch of the service comes shortly after Custodian Bank received approval from the Wyoming Department of Banking to launch Bitcoin custody services.
In announcing the news, Custodia Bank emphasized that the platform is a non-lending bank founded by Bitcoin enthusiasts and offers independent custody accounts on its “customized Bitcoin custody platform.”
According to the statement, Custodia Bank provides integrated Bitcoin custody and U.S. dollar services on one platform, aiming to simplify user operations and reduce risks. The custodian bank added:
“Since we built our Bitcoin custody platform in-house, we are especially grateful to those who have offered to help us by providing user feedback.”
The custodian bank’s approval from the Wyoming Department of Banking comes after the company faced a series of regulatory challenges. In January 2023, the Federal Reserve rejected the bank’s application to become a member of the Federal Reserve, saying it “did not meet the factors required by law.” The Fed subsequently denied Custodia’s request to reconsider its application for system membership.
related: Germany’s third largest bank DZ Bank will provide cryptocurrency custody services to institutional investors
In a detailed report in March 2023, the Federal Reserve Board of Directors stated that the decision to reject Custodia’s application was based on concerns about the bank’s high concentration of activities related to the crypto industry.According to reports, the custodian bank Open Although the Federal Reserve has blocked most of its proposed business models, the plan will begin commercialization in August 2023.
Founded in 2020, Custodia is a bank and digital asset custodian that aims to bridge the gap between digital assets and the U.S. dollar payment system. The company, formerly known as Avanti Financial Group, is headquartered in Cheyenne, Wyoming.
Custodia Bank did not immediately respond to Cointelegraph’s request for comment.
Magazine: How to Protect Your Cryptocurrency in Volatile Markets – Bitcoin OGs and Experts Engage
Svlook
