Abra to Launch Abra Bank – America’s First Fully Regulated Cryptocurrency Bank
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(Kitco News) – Abra, a full-service cryptocurrency platform that offers trading opportunities, yield and borrowing services, has announcement that it intends to launch Abra Bank as the first fully regulated US bank for cryptocurrencies.
According to the announcement, Abra Bank will allow customers in the United States to deposit and bank with digital assets, as well as access global fiat on- and off-ramps. The company also plans to launch Abra International, which will offer the same services as Abra Bank to customers residing outside the United States.
This move by the company was made with the goal of “becoming the Web3 wallet and default crypto bank for everyone,” which Abra says can only be achieved “by adopting a global regulatory framework that provides transparency, oversight, security and agency”. “
The emphasis on “Agency” – which Abra has defined as meaning “your assets remain your assets” – is particularly relevant at this time after the implosion of Celsius and Voyager, whose users risk losing some or all of the assets they have deposited on them. platforms.
Abra says that while he adheres to the “not your keys, not your crypto” philosophy, he understands the need some people and organizations have when it comes to managing their digital assets. For this reason, “Abra will provide the on-ramps, on-ramps, and transactional services to make crypto and Web3 work for everyone.”
The company said it intends to work with U.S. and state banking regulators to ensure compliance with local laws and regulations, and will release information about its balance sheet and risk management processes.
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As part of the launch of Abra Bank, the return service of the Abra Earn platform will switch to Abra Boost, which “will allow all qualified investors to deposit and earn interest on their digital assets”.
When launched in the United States, Abra Boost will only be available to institutional investors or individuals who are accredited investors, and this requirement will be in effect until the official launch of Abra Bank in the United States.
Abra Bank is expected to launch in 2023. All Abra customers in the United States will be transferred to Abra Bank and will be able to use Abra Trade, Abra Boost and Abra Borrow “in accordance with all applicable regulations and Abra’s standard terms of service. “.
Abra International is expected to launch in late 2022. After launch, all Abra clients living outside of the United States will transfer to Abra International for access to trading, Abra Boost and Abra Borrow.
Abra currently has over 2 million customers and $1.5 billion in assets under management (AUM).
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