Peter Thil joins the technological billion

Stay in view of the free updates

Simply subscribe to Financial services Myft Digest – it is delivered directly to your inbox.

A group of technical billionaires led by Palmer Loki, the co -founder of the military contractor Andoril, is preparing to launch an American bank aimed at filling the gap left by Silicon Valley, which serves startups, including cryptocurrencies.

To be called EREBOR, the bank will be supported by prominent technology investors including Joe Lonsdale, founder founder Investment capital 8VC company and co -founder of the Palantir Defense Group, according to people familiar with the matter.

Thiel’s investment capital fund, the Founders Fund, will be among the investors, according to two people close to this issue.

Like Anduril and Palantir, EREBOR is a reference to JRR Tolkien’s Lord of the rings. EREBOR is “Mountain Lionly” whose treasures were reclaimed from Dragon Smaug.

Luckey and Lonsdale-who were a senior donor to Donald Trump in the 2024 US presidential election that the bank takes over the status that SVB occupies as a large loan for the most dangerous companies and the encrypted currency players that traditional banks may reject.

Erbor applied to obtain a citizen Bank A charter in the United States, a license that allows the financial institution to work as a bank.

“The bank will be a national bank … providing traditional banking products, as well as products and services related to virtual currency, for companies and individuals,” according to the application, announced that week.

The Filling said that its target market will be companies that were part of the American “innovation economy”, especially technology companies that focus on virtual currencies, artificial intelligence, defense and manufacturing. It will also serve individuals who work for or invest in these companies.

It also planned to work with non -American companies “seeking to reach the American banking system.”

The founders participating in EREBOR first discussed the launch of a bank after SVB collapsed in 2023, according to a person close to the matter. SVB was the main bank for us startups and investment capital supporters.

Its assets have been sold to citizens, which SVB has been re -launched since then, and a number of bankers have moved to HSBC in the United States. But investors and executives complain of a gap in banking services for emerging technology companies since SVB-with some startups is struggling to obtain the same access to capital.

Erbur said in the deposit that he “distinguishes himself” by working with customers “does not serve well by traditional or sabotage financial institutions, especially with regard to insufficient access to credit.”

The cryptocurrencies known as “stablecoins”, which are linked to realistic assets such as the dollar, are expected to be an important part of the bank’s operations. EREBOR application aims to be “the most organized entity that facilitates enlarged transactions.”

Luckey and Lonsdale were not expected to participate in the bank’s daily management, according to people familiar with their plans. It will be operated by Co-Coos Jacob Hirshman, who was previously working as a consultant at Crypto Group Circle, and Owen Rapaport, co-founder and CEO of Aer Digital Assets Companize. Mike Hagedorn, the former former Vice President of the New Jersey, will be the head of the bank.

Its main office will be in Columbus, Ohio, with an additional office in New York, but it will only provide digital customer service, and market all its products and services via the smartphone application and the website.

Part of the request was made secretly and not publicly published, such as details related to its shareholders, the arrow structure and the work plan.

Looky did not respond to a request for comment. Lonsdale confirmed that he was a financial supporter of the project but refused to comment more. Rapaport and the official spokesperson for Thiel refused to comment. Hirschman did not respond and hated.