Zerohash's U.S. Trust Bank License Application Returned, Plans to Resubmit This Month

Odaily News: Zerohash, which provides crypto infrastructure for institutions such as Morgan Stanley and E*Trade, had its U.S. trust bank license application returned by the Office of the Comptroller of the Currency (OCC). OCC records show the application was returned on July 17. Zerohash stated that the return was an administrative procedure, not a substantive denial, and the company plans to resubmit its application this month, adopting a phased approach that first focuses on approval for national trust activities. Zerohash is currently already a state-level trust bank and provides crypto infrastructure for institutions including BlackRock, Franklin Templeton, and Stripe. Previously, Zerohash was valued at over $1.5 billion when seeking fundraising. The company also faces a lawsuit filed by its former Chief Compliance Officer, who claims to have been fired after disclosing more than 200 compliance gaps; Zerohash attempted to move the case to arbitration, but that attempt has been preliminarily dismissed.