Oculus and Anduril founder Palmer Luckey is backing a new digital bank called Erebor, designed to serve crypto-native and high-risk tech startups. The bank, valued at $2 billion, has raised $225 million from major investors including Peter Thiel’s Founders Fund and Joe Lonsdale’s 8VC. Erebor is applying for a U.S. national bank charter and will operate digitally from Columbus, Ohio, with a presence in New York. It plans to offer traditional banking services alongside crypto-collateralized loans and hold stablecoins on its balance sheet. Erebor aims to fill the gap left by Silicon Valley Bank’s 2023 collapse, targeting innovation-driven industries.