Peter Thiel, co-founder of PayPal, has partnered with a group of tech investors to build a new bank focused on supporting startups in industries such as crypto, artificial intelligence (AI), defense, and manufacturing.
After the collapse of Silicon Valley Bank (SVB), many startup companies lost a major financial partner. The Financial Times reported that this new project, called Erebor, hopes to fill that gap.
The initiative is being led by Palmer Luckey, who also co-founded defense firm Anduril. Thiel’s Founders Fund and Palantir co-founder Joe Lonsdale are also backing the plan.
Did you know?
Subscribe – We publish new crypto explainer videos every week!
How Do KYC & AML Work in Crypto? (Explained)
According to the Financial Times, Erebor has already applied for a national banking license through the Office of the Comptroller of the Currency, which oversees US banks.
Erebor aims to work with venture-backed startups that are often turned away by traditional banks. The bank’s focus will be on tech companies building in areas that can be challenging for larger banks to understand or support, such as AI, crypto platforms, defense systems, and industrial tools.
The leadership team will include two co-CEOs: Owen Rapaport, who co-founded software firm Argus, and Jacob Hirshman, who previously advised the crypto company Circle. Their backgrounds combine experience in technology, banking, and digital assets.
One notable feature of Erebor is its plan to hold stablecoins, cryptocurrencies pegged to the US dollar, on its balance sheet.
Recently, Amazon invested $10 billion to build data centers in North Carolina for AI and cloud work. What did the company say about the decision? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
