The State of Wyoming has approved Kraken’s application to form the world’s first Special Purpose Depository Institution (SPDI), and has granted a charter to Wyoming’s newest state-chartered bank, tentatively called “Kraken Financial.”
Headquartered in Cheyenne, Wyoming, Kraken Financial will enable Kraken clients in the U.S. to bank seamlessly between digital assets and national currencies.
From paying bills and receiving salaries in cryptocurrency to incorporating digital assets into investment and trading portfolios, Kraken Financial will be the first regulated, U.S. bank to provide comprehensive deposit-taking, custody and fiduciary services for digital assets. This new institution will be regulated in largely the same manner as other U.S. banks.
Kraken officials state that their offerings will evolve over time, but they plan to provide clients with a seamless banking gateway between digital assets and national currencies.
During its first year of operations, the SPDI plans to give clients the ability to deposit USD and custody digital assets at a regulated state-chartered bank. These banking services will be seamlessly integrated into the existing exchange services, providing clients better funding infrastructure, a better experience and enhanced regulatory clarity.
Because of their position as a bridge between crypto and traditional finance, they are best prepared to offer the following crypto-focused services:
❧ Digital asset custody
❧ Demand/deposit accounts (DDAs)
❧ Wire transfer and funding services.
In the future, they anticipate supporting additional services such as:
❧ Enhanced digital asset custody offerings
❧ Digital asset staking
❧ Trust account and administration
Future services for individual accounts:
❧ A complete online and mobile banking suite of products
❧ A debit card that clients can use to spend their crypto funds
And future services for corporate clients:
❧ Account management services
❧ Bank comfort letters
❧ Deposit verifications
❧ Proof of funds attestations
Kraken also expects to offer additional retail, wealth management and treasury services (and potentially other asset classes such as securities).