Currently, the crypto sector is going through a tumultuous time, especially in the United States. Indeed, since the collapse of FTX, the new industry is heavily monitored and the slightest mistake is punished. Crypto companies thus find themselves under pressure and many of them do not hesitate to flee the United States. In the midst of all this, crypto exchange Kraken announces some interesting news. He wants to create his own bank.
Kraken is considering a major project despite pressure from regulators!
The SEC previously forced Kraken to stop offering its crypto staking service in the United States. It has also launched an investigation to verify that the platform does not offer unregistered titles to US customers. The crypto exchange has also become embroiled in a sanctions violation case with the Office of Foreign Assets Control (OFAC). He had to pay a $362,000 fine. Despite everything, Kraken does not intend to abandon its development projects. To this end, he recently announced that he wanted to launch his own bank.
The third-largest crypto exchange by trading volume made the announcement while responding to a comment. Thus, on March 6, he declared: “Kraken Bank isn’t open yet, but it’s on the way! Offer will initially be available to existing Kraken customers in the United States with potential international expansion in the future“. In addition, Marco Santori, legal director of the exchange, had indicated : “Kraken Bank is on track for a launch, very soon“.
Is the exchange trying to follow Binance CEO’s advice?
Kraken’s announcement comes 1 month after CZ spoke about banks ceasing to support crypto. Indeed, the CEO of Binance said on February 6: “While some banks are withdrawing their support for cryptos, others are taking an interest in them. Setbacks were to be expected following the incidents of last year. In the long term, we must continue to build“.
One user commented:Could you explain why it is not possible for Binance to own a bank? This would make the deposit and withdrawal process much easier“.
Kraken makes its announcement sometime after refusing to register with the SEC. Indeed, Dave Ripley, new CEO of Kraken, indicated that the exchange would not regularize its situation with the American regulator. Yet President Gary Gensler has repeatedly called on crypto companies to do just that.
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