Cryptocurrency company Zerohash seeks approval from US National Trust Bank
Digital asset infrastructure company Zerohash has applied for national trust bank status from the Office of the Comptroller of the Currency, seeking approval to expand its role in digital asset custody and payment services.
The Chicago-based company operates under the brand Zerohash and provides crypto infrastructure to banks, brokerages, and fintech platforms.
Clients listed on the company’s website include prediction market platform Kalsi and asset management firm BlackRock.
According to a report from bloombergthe proposed national trust bank will provide custody of digital assets, fiat currencies, and other assets. The entity will also provide custodial staking, transfer agent services, and stablecoin management.
Zerohash’s chief legal officer Stephen Gardner has been listed as a candidate to become the trust bank’s chief executive officer.
According to the filing, Zerohash became one of a growing group of crypto and fintech companies seeking federal trust certification under President Donald Trump’s second administration.
In December, the OCC conditionally approved trust charters requested by Circle Internet Group Inc., Ripple, BitGo Inc., Fidelity Digital Assets, and Paxos.
Trust banks are different from traditional banks. It cannot accept deposits or issue loans, but it can store assets.
Earlier this year, Mastercard considered acquiring blockchain infrastructure company Zerohash for up to $2 billion, but the company rejected the outright acquisition and chose to remain independent.
The two companies are reportedly currently discussing strategic investments that would allow Mastercard to leverage Zerohash’s technology and customer base while maintaining its autonomy.
Kraken secures master account at Federal Reserve System
Earlier today, Kraken announced that it had secured a master account with the Federal Reserve System, giving it direct access to the U.S. central bank’s core payments infrastructure. The company’s banking arm, Kraken Financial, has received approval from the Federal Reserve Bank of Kansas City to allow it to clear U.S. dollar transactions directly through Fedwire, bypassing intermediary banks.
Although the master account allows access to direct payments, Kraken does not have all the benefits of a traditional bank, such as earning interest on reserves or borrowing from the Fed’s lending facilities.
The approval marks a significant milestone for the crypto industry, which has long been denied access to the Fed’s payments system. Sen. Cynthia Lummis called this a “watershed moment.”
Other companies, including Ripple and Custody Bank, are seeking similar access, but regulatory approvals remain selective. Kraken’s approval is consistent with discussions about “skinny” master accounts, giving the Fed limited access without the banks’ full authority.
The post Cryptocurrency Company Zerohash Seeks U.S. National Trust Bank Charter originally appeared on Bitcoin Magazine and is written by Mika Zimmerman.
