US regulators have approved the launch of a bank backed by a group of high-profile tech billionaires with ties to Donald Trump’s administration, seeking to fill a gap left by the collapse of Silicon Valley Bank.
The bank, Erebor, was founded this year by Palmer Luckey, co-founder of military contractor Anduril, and Joe Lonsdale, head of venture capital firm 8VC and a co-founder of data analytics firm Palantir. Its early backers also include Peter Thiel’s venture firm Founders Fund and Haun Ventures, a crypto-focused investor.
Like Anduril and Palantir, Erebor’s name is a reference to the fantasy world of JRR Tolkien. Erebor is the “lonely mountain” whose treasures are reclaimed from the dragon Smaug in The Hobbit.