Archblock, the operator of the fifth-largest stablecoin, TrueUSD, has moved $1 billion of the token's reserves to a bank in the Bahamas. The move comes as digital asset firms are seeking alternative homes for their cash in the wake of several crypto-friendly lenders' collapse in the United States.
Archblock now holds more than $1.4 billion of the token's roughly $2 billion reserves with Nassau-based Capital Union Bank, according to an independent accounting firm's attestation.
The decision to move funds to Capital Union in recent days was the result of worsening banking conditions for crypto businesses in the US, according to Archblock's chief financial and operating officer, Alex de Lorraine.
"Even operational accounts to just pay taxes, administer payroll and pay expenses are very difficult to get if one is not a multibillion-dollar business"
Capital Union Bank is an independent private and institutional banking institution located in Lyford Cay, Nassau, Bahamas that offers a comprehensive range of private banking services and is regulated by the Central Bank and the Securities Commission of the Bahamas. The bank is also one of the banking partners for stablecoin issuer Tether Holdings Ltd., according to Bloomberg.
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