OpenReserve wants to change that. The startup, founded by former MoneyLion executives Dee Choubey and Rick Correia, has received preliminary conditional approval from the Office of the Comptroller of the Currency to establish a nationally chartered bank. Andreessen Horowitz led a $25 million financing round for the company, which is now emerging from stealth.
OpenReserve describes its model as “continuous banking.” The idea is to build a bank on blockchain infrastructure so deposits, payments, lending and treasury services can operate around the clock. Instead of merely allowing customers to submit instructions outside business hours, the underlying system would be capable of processing transactions and updating records in real time.
For a business, that could mean receiving a payment on Saturday and immediately using the funds as collateral for a loan or to pay a supplier. OpenReserve also plans to use real-time underwriting, potentially allowing credit decisions to reflect a company’s most current financial position instead of relying on periodic statements and delayed bank records.
The company intends to offer traditional deposits and loans alongside tokenized capabilities, digital-asset services, foreign correspondent banking and a stablecoin subsidiary. Stablecoins could allow customers to transfer dollar-denominated value continuously, including across borders, without waiting for conventional payment networks to reopen.
OpenReserve is not yet a fully operational bank. The OCC’s approval is conditional, and the company still needs approval from the Federal Deposit Insurance Corporation and the Federal Reserve. It must also meet demanding capital, technology, cybersecurity and risk-management requirements before opening. The OCC requires the proposed bank to maintain a Tier 1 leverage ratio of at least 12 percent during its first three years and complete an independent security review of its electronic banking platform.
If OpenReserve succeeds, it could demonstrate that blockchain’s most important banking application is not creating another cryptocurrency. It may be replacing the batch processing, settlement delays, and restricted operating hours that still define much of the financial system.
NYC Wins When Everyone Can Vote! Michael H. Drucker
