US Bancorp, a multinational financial services company, is restarting its crypto custody service, according to a report by Bloomberg on September 3.
This decision follows a recent regulatory adjustment that eased capital restrictions on banks dealing with digital assets.
The bank had first introduced its crypto custody solution in 2021 through a partnership with NYDIG. However, the service was paused after guidance from the Securities and Exchange Commission (SEC) required banks to hold extra capital on their balance sheets when handling crypto.
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That requirement was rolled back during President Donald Trump’s current administration, which prompted the bank to pick up where it left off.
Stephen Philipson, who leads US Bancorp’s institutional division, said the bank already had a clear plan in place.
He noted that while they are restarting with custody for Bitcoin
$111,635.14
, the long-term vision could include adding support for more digital assets. Those would need to pass the bank’s internal compliance and risk reviews.
The initial focus is on helping registered investment funds and Bitcoin exchange-traded fund (ETF) providers securely store their digital holdings. By taking this step, US Bancorp is positioning itself to serve clients in a market that’s becoming more active and regulated.
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