The Office of the Comptroller of the Currency (OCC) has issued a consent order against digital asset custody services provider Anchorage Digital Bank over Bank Secrecy Act anti-money laundering failures.
Last year, the OCC gave Anchorage conditional approval for a national trust charter, a first for a digital asset bank.
However, now the OCC says that Anchorage has not met BSA/AML requirements - particularly in relation to internal controls for customer due diligence and procedures for monitoring suspicious activity - under the operating agreement.
As a result, the bank has violated both the agreement and related laws and regulations, says the OCC in its consent order.
Anchorage has now been given 15 days to set up a committee to oversee its compliance with the order as it puts together an action plan to address the OCC's concerns.
“The OCC holds all nationally chartered banks to the same high standards, whether they engage in traditional or novel activities,” says Acting Comptroller of the Currency Michael J Hsu.