Erebor, a new digital bank with a focus on crypto and emerging technologies, has made progress in entering the US financial system.
The bank has applied for a national bank charter, and it intends to cater to technology firms and investors in areas such as artificial intelligence, defence, manufacturing, and digital assets.
The initiative is being backed by a group of high-profile tech investors, including Founders Fund and a group of entrepreneurs with prior links to defence tech and venture capital. Erebor is structured as a digital-only institution and plans to operate from a main office in Columbus, Ohio, with a secondary location in New York.
Targeting tech and digital asset sectors
According to its application, the bank intends to hold stablecoins on its balance sheet. These digital tokens are designed to mirror the value of government-issued currencies and are typically backed by reserves. Erebor’s stated goal is to provide financial infrastructure to sectors that have struggled to find consistent banking partners in the traditional system.
The move follows the collapse of Silicon Valley Bank in March 2023, which had served as a primary financial partner for early-stage tech firms and venture capital investors. Following SVB’s failure, many startups experienced difficulty accessing funds and meeting operational needs such as payroll, as larger banks were often unwilling to serve riskier, non-traditional clients.
Officials from Erebor noted the intent to support companies and individuals often underserved by existing institutions, particularly those working in innovative or highly specialised industries. According to Yahoo Finance, leadership will include representatives with previous experience in fintech and stablecoin development.
