Zerohash's application for a US trust bank charter has been returned by the Office of the Comptroller of the Currency (OCC), with records showing the move on July 17. The crypto infrastructure firm, which serves Morgan Stanley and E*Trade, called the return an administrative step rather than a substantive denial. It plans to refile this month with a phased approach centered on gaining approval for national trust activities. Already operating as a state-level trust bank, Zerohash counts BlackRock, Franklin Templeton and Stripe among its clients, and was valued at more than $1.5 billion in a prior fundraising round. The company is also facing a lawsuit from its former chief compliance officer, who claims he was dismissed after flagging more than 200 compliance gaps; an attempt by Zerohash to push the dispute into arbitration was initially rejected.
Zerohash, a crypto infrastructure provider serving Morgan Stanley and E*Trade, had its application for a US trust bank charter returned by the Office of the Comptroller of the Currency (OCC). Records show the application was returned on July 17.
Administrative step, not a rejection
The company said the return is an administrative matter rather than a substantive denial. It plans to resubmit this month, taking a phased approach that starts with approval for national trust activities.
State trust bank with institutional clients
Zerohash is already a state-level trust bank. Its crypto infrastructure clients include BlackRock, Franklin Templeton and Stripe. The company was valued at more than $1.5 billion in its most recent fundraising.
Lawsuit from former chief compliance officer
Zerohash also faces a lawsuit filed by its former chief compliance officer, who says he was fired after flagging more than 200 compliance gaps. The company tried to move the case to arbitration, but that attempt was initially rejected.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
