Kraken is one of the most famous exchanges for trading cryptocurrencies like Bitcoin and Ethereum. Founded in 2011, they now want to take the next big step almost 10 years later. CEO Jesse Powell's company is now planning to open its own bank.
Kraken receives official approval
Cryptocurrencies have enjoyed increasing popularity in recent weeks and months, especially with larger investors. Because the current economic situation is causing many to look for alternative investment opportunities. Cryptocurrencies such as Bitcoin or Ethereum are at the right place here, even if digital currencies continue to only make up a minimal proportion of investments.
That's why crypto companies are constantly trying to expand their business. The San Francisco-based crypto exchange Kraken erhielt now officially approved by the Wyoming Banking Board as special purpose depository institution (SPDI) charter to act. SPDIs are banks that take deposits and engage in other ancillary activities including fiduciary asset management, custody and related activities.
The bank is called "Kraken Financial" and is based in Cheyenne, Wyoming. Kraken Financial will be the first US regulated bank to offer comprehensive deposit, custody and escrow services for digital assets. It will offer management of both digital and traditional assets.
The exchange announces the good news on Twitter:
NEW: Kraken Wins Bank Charter Approvalhttps://t.co/NnJTMWQJQZ
- Kraken Exchange (@krakenfx) September 16, 2020
Markus from Kryptokumpel.de
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