According to reports, Peter Thiel and several billionaire tech moguls have discovered a significant market opportunity following the collapse of Silicon Valley Bank (SVB) in 2023. They are planning to launch a new financial institution named Erebor, inspired by elements from "The Lord of the Rings," specifically designed to serve cryptocurrency companies and startups that have faced funding challenges since SVB's downfall.
SVB's sudden collapse in 2023 triggered a chain reaction in the U.S. banking sector and led to tighter credit standards. Although its assets were subsequently acquired by First Citizens Bank, no institution has been able to truly replace SVB's unique market role—until now.
Background: Before its collapse, SVB provided banking services to nearly half of the venture capital-backed tech and life sciences companies in the U.S.
This week, Crypto Biz will focus on Thiel's latest venture, a new asset recovery system launched specifically for institutional crypto investors, and important insights behind the substantial crypto gains reported by Michael Saylor's Strategy company in the second quarter.
According to the Financial Times on Wednesday (July 2), billionaires Peter Thiel, Palmer Luckey, and Joe Lonsdale have applied for a banking license for Erebor Bank, which aims to serve startups, cryptocurrency businesses, and other sectors considered high-risk.
The tech team hopes to fill the market gap left by the collapse of Silicon Valley Bank, a market with potentially high returns but also significant volatility.
Thiel is well-versed in the digital asset space. He is a staunch supporter of Bitcoin (BTC) and an investor in the cryptocurrency exchange Bullish, which has reportedly filed for an initial public offering in the U.S.
"The vast majority of people do not have the ability to truly manage assets independently," said Harry Donnelly, founder and CEO of Circuit. Circuit has recently launched a digital asset recovery solution aimed at enterprise-level users.
The system is based on Automated Asset Extraction (AAE) technology, helping institutional clients prevent catastrophic and irreversible losses of digital assets. Currently, the solution has been adopted by two institutions: the UAE-based custodian Tungsten and the crypto infrastructure company Palisade.
"For institutions, asset recovery is a fundamental need, not a luxury," Donnelly pointed out. "As more businesses hold digital assets, ensuring these assets do not disappear into thin air becomes crucial. Institutions place greater emphasis on risk management and fiduciary responsibility."
Circuit's launch comes at a time when the market estimates that approximately 11% to 18% of Bitcoin's fixed supply has been permanently lost.
Strategy, which has transformed from a business intelligence firm into a Bitcoin asset management company, is expected to report unrealized gains of up to $13 billion from its digital asset holdings in the second quarter, despite its core business facing pressure.
Michael Saylor, chairman and founder of Strategy, stated that the company has accumulated 597,325 Bitcoins, achieving a 7.8% paper return on Bitcoin in the second quarter. Last week, Strategy continued to increase its holdings, purchasing an additional $531 million worth of Bitcoin.
Despite the substantial returns from crypto assets, Strategy's software business is expected to report second-quarter revenues of $112.8 million, a decline compared to the same period last year.
Strategy's large-scale allocation to Bitcoin has become a model for many companies to follow. According to Cointelegraph, there are currently 250 companies holding Bitcoin, with 26 companies announcing the implementation of Bitcoin asset allocation strategies just last month.
Digital brokerage Robinhood, with over 25 million users, is accelerating its foray into the digital asset space by launching a dedicated Layer-2 blockchain on Arbitrum for trading tokenized stocks and exchange-traded funds (ETFs).
This tokenization plan will provide EU investors with token trading services for over 200 U.S. stocks and ETFs.
This official announcement comes just days after Robinhood launched micro futures contracts for Bitcoin, Solana (SOL), and Ripple (XRP).
This latest move further demonstrates Robinhood's efforts to actively promote U.S. legislation supporting tokenization and helps it build a platform for trading real-world assets.
Crypto Biz brings you the pulse of the blockchain and crypto industry every week, landing in your inbox every Thursday.
Related: Turkish authorities block PancakeSwap in crackdown on crypto websites
Original: “Crypto Biz: Peter Thiel Aims to Build SVB Successor Bank”
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
