BitGo has received its approval from the U.S. Office of the Comptroller of the Currency (OCC) to foray into traditional banking services. In a recent announcement, the digital asset infrastructure firm said that it is set to convert its BitGo Trust Company into a national bank dubbed BitGo Bank and Trust, National Association (NA).
The OCC is a bureau of the U.S. Treasury that is tasked with regulating the national banks in the country. Now that BitGo has bagged its OCC approval, its bank division will be under the supervision of the OCC.
After completing the compliance requirements with the OCC, the newly formed baking unit will be allowed to offer custody services for digital assets.
“BitGo Bank & Trust, N.A. is authorized to offer nation-wide delivery of certain digital asset–related services, without state-by-state licensing requirements where federal law preempts duplicative obligations,” the official statement from the California-headquartered company said.
Mike Belshe, CEO and co-founder of BitGo has called the development a landmark step in the ongoing evolution of what looks like the future of finance.
BitGo was founded back in 2013 Over the last 11 years, the company has added an array of services to its offerings. These include crypto trading, custody, staking, treasury services for institutional clients.
With the OCC approval, the BitGo bank will be allowed to offer custody of “certain non-deposit financial assets under federal fiduciary and non-fiduciary authorities” as well.
Jody Mettler, the chief Operating Officer of BitGo has been appointed the President of BitGo Bank & Trust, N.A..
“Our mission has been to build the infrastructure institutions trust – and with this approval, that mission expands to a new frontier,” Mettler said.
The company has claimed that it maintains a regular auditing schedule, institutional-level operational controls across custody, as well as up to $250 million in insurance for assets held in qualified custody.
In recent times, the company has obtained VARA’s approval in Dubai and has also filed for an IPO on the NYSE. It has also expanded its presence in Kazakhstan and Germany this year.