Concept
FV Bank occupies a unique position among regulated crypto-focused banks: it is a US-licensed depository institution under Puerto Rico's International Financial Entity (IFE) regime, with its own digital asset custody infrastructure, direct access to Fedwire (US Federal Reserve clearing system), and Visa card programs. This is not an offshore bank in the Caribbean sense—Puerto Rico is a US territory, and the IFE regime operates under the Office of the Commissioner of Financial Institutions (OCIF) with license IFE-063 for FV Bank International Inc. Founded in 2018, it specializes in fintech companies, marketplaces, and firms with digital assets.
The key positioning of FV Bank is as the first US-regulated depository bank with vertically integrated custody infrastructure inside the bank. The timeline for onboarding assets tracks industry development: BTC custody launched in November 2022, USDC was connected at the same time (with instant conversion to USD on deposit); Ethereum and USDT were added in 2024, PYUSD (PayPal USD) in January 2025. As of the PYUSD launch, FV Bank remains the only US-licensed bank accepting three stablecoins at once—USDC, USDT, and PYUSD—for direct deposit with automatic conversion to dollars. Cross-border FX for crypto companies has operated since January 2023, and SWIFT for international payments since March 2025. The bank is itself the custodian, holds a banking license, and has direct access to the Federal Reserve: digital assets are held and converted within the banking circuit, on its own infrastructure and under banking reporting.
Use Cases for FV Bank
Dollar banking through a regulated institution on US territory. Fintech or crypto business needing dollar settlements directly through the Federal Reserve, not through a chain of correspondents in EU/HK. Direct Fedwire access is a rare combination for a small crypto-focused bank; competing custody providers typically use a partner bank for dollar settlements.
Digital asset custody under the US regulatory regime. BTC, ETH, USDC, and USDT appear on a bank statement, with the bank itself acting as custodian—a compromise between exchange custody (Coinbase, Binance) and self-custody (Ledger). The closest player by logic is Anchorage Digital, a crypto custodian under a federal banking charter; FV Bank covers the same need through Puerto Rico's IFE regime. The format is convenient for corporate clients whose investors or counterparties need a verifiable trail through a regulated custodian.
Fiat ↔ crypto on/off-ramp within the banking circuit. Conversion of a USD deposit to BTC or USDT occurs on the FV Bank account without withdrawal to an external exchange. This is critical for compliance documentation at the client's receiving banks—the operation is reflected as a banking transaction, not as "withdrawal from an exchange."
API for embedded payments. FV Bank offers a banking API for integration with fintech products: payment infrastructure as a service, backing card programs through BIN sponsorship, white-label crypto custody—a BaaS model on top of its own license, familiar from US sponsor banks. Suitable for fintech startups building their product on top of a licensed banking circuit.
Visa cards. Corporate and personal Visa cards linked to dollar and crypto balances.
What FV Bank Provides Technically
- Multi-currency accounts: USD (primary), EUR, GBP—for corporate clients
- Direct Fedwire access—dollar settlements through the US Federal Reserve clearing system directly
- SWIFT for international transfers in USD/EUR/GBP (launched March 2025)
- Digital asset custody—BTC, ETH, USDC, USDT, PYUSD within the banking circuit, vertically integrated in-house infrastructure
- Conversion between fiat and digital assets without withdrawal to an external exchange—USDC is instantly converted to USD on deposit
- Visa cards for individuals and corporate clients—direct Visa integration for crypto debit and corporate cards
- Cross-border FX service for crypto companies—launched January 2023
- API for embedded payments and custody integration
- Compliance under FinCEN and OCIF regulations—BSA and AML at the same level as any US bank
- Audit & reporting—the IFE regime requires stricter standards than typical Caribbean offshore
Regulatory Context
FV Bank is licensed by OCIF (Office of the Commissioner of Financial Institutions of Puerto Rico) under the International Financial Center Regulatory Act (Act 273-2012); license number IFE-063 is issued to the legal entity FV Bank International Inc. IFE—International Financial Entity, Puerto Rico's regime for international banking services with a separate regulatory rubric (this is not the International Banking Entity under Act 52-1982, a parallel and older regime). The economics of the regime are real: a tax decree fixes a 4% corporate tax rate on IFE income for 15 years, with a possible extension, subject to substance requirements—a minimum of eight full-time employees in the island office (two in compliance) and capitalization of at least $550,000. The motive for registering in PR: OCIF is open to integrating blockchain and banking, while the jurisdiction retains access to US federal institutions. Not to be confused with a classic US bank charter under FDIC.
Critical differences from a full US bank:
- No FDIC insurance for most IFE deposit products
- IFE does not serve US residents in retail mode (only international clients)
- Access to Fedwire and SWIFT through direct relationships with the Federal Reserve and correspondent banks
- Compliance under FinCEN (US Treasury) and OCIF
- Audit and reporting requirements stricter than at typical Caribbean offshore banks
Permitted Beneficiary Jurisdictions
- Most countries worldwide with confirmed KYC (international clients)
- Not US residents for retail banking (IFE regime)
- Russia and Belarus—selectively, with a residence permit from another country and non-sanctioned counterparties
- Sanctions-sensitive jurisdictions (Iran, Syria, North Korea, Cuba)—rejection
Russian clients
Conditions (minimum required):
- Residence permit in EU/UK/UAE/SG as a mandatory condition
- Source of funds documented outside sanctions-sensitive operations
- A focused business model: fintech, crypto, digital assets—FV Bank is not interested in general cross-border trading without a crypto component
- All counterparties—outside the OFAC SDN list
Alternatives: The Kingdom Bank (softer on the Russian profile), Nodabank, EQI Bank.
Who FV Bank Is Not Suitable For
- US residents for retail banking—the IFE regime does not cover retail US.
- Non-banking UHNW client without digital-asset needs—for this, HK/SG/Swiss private banking is better.
- Bank reference letter for UK/EU operations—FV is not FCA/ECB-regulated, and Western banks may not accept the reference.
- Very large deposits without digital-asset logic—the IFE structure and absence of FDIC make this less predictable than a classic US bank.
- Regular B2B trading without a crypto component—cost and compliance don't pay off.
- Gambling, adult, weapons—prohibited.
- Shell companies without business—rejection.
Stablecoins and the GENIUS Act: a new regulatory perimeter
FV Bank's custody model is tied to stablecoins, so the US framework for them directly affects the bank. In July 2025, the United States signed the GENIUS Act—the first federal law on payment stablecoins. It introduces the figure of a permitted payment stablecoin issuer, requires 1:1 reserve backing, and takes stablecoin issuance out from under the SEC and CFTC, qualifying them as a payment instrument. The main provisions take effect no later than January 2027.
For a bank like FV, this is a tailwind: USDC, USDT, and PYUSD, which it accepts on deposit, fall into a clear legal regime, and its status as a regulated custodian strengthens its position against exchanges and non-bank wallets. The same logic drives tokenization of real-world assets (RWA), where bank custody and stablecoin settlement converge.
FATCA, CRS, and automatic exchange
Puerto Rico's jurisdiction also sets the account's tax transparency. As an institution on US territory, FV Bank operates through FATCA: data on US persons' accounts goes to the IRS. But CRS—the OECD's global automatic-exchange standard—does not apply to the US and its territories, and Puerto Rico has no separate signature under it. The automatic transfer of non-resident account data to the tax authorities of their countries of residence, familiar from CRS, does not happen here.
This does not remove transparency: for a beneficiary resident in Russia, CFC and currency-control obligations remain, and the ownership structure is disclosed to the bank at onboarding. The absence of CRS exchange removes one channel of automatic reporting, but does not cancel the owner's own tax obligations.
Q/A
How does FV Bank differ from EQI Bank or The Kingdom Bank?
EQI/Kingdom are Caribbean offshore banks (Dominica), under FSU regulation, without a US connection. FV Bank is a US-licensed depository in Puerto Rico, under OCIF + FinCEN, closer to the US regulatory perimeter with direct Fedwire access. This means stricter compliance requirements, but also more predictable USD railing.
What does "not FDIC-insured" mean?
FDIC (Federal Deposit Insurance Corporation) insures deposits in US banks up to $250,000 per depositor. Puerto Rico's IFE regime is outside the federal scheme—deposits at FV Bank are not covered by FDIC. For investment-grade capital preservation, a Swiss or Singapore private bank.
Which cryptocurrencies are supported?
BTC (launched first), ETH, USDC, USDT, and PYUSD—in-house custody through a bank account. On stablecoins, FV Bank is the only US-licensed bank supporting three at once (USDC, USDT, PYUSD) for direct deposit.
Can an account be opened remotely?
Yes, FV Bank works with international clients through online onboarding.
Do you open FV Bank for Russians?
Selectively—with a residence permit from another country, non-sanctioned counterparties, and a crypto/fintech business model. FinCEN compliance is stricter than at Caribbean offshore banks.
What about CRS and FATCA?
FV Bank operates within the FATCA perimeter: as an institution on US territory, it reports to the IRS on US persons' accounts. CRS does not apply in Puerto Rico—the US is the only major economy that has not joined the standard, and its territories do not sign up to it separately. So there is no automatic exchange of non-resident account data with the tax authorities of their countries of residence, as under CRS. More detail is in the material on tax transparency.
What is the minimum deposit and what does FX cost?
The minimum depends on the account type (corporate, personal, custody-account) and is agreed individually. FX markup per tariff—0–2% depending on the currency accepted; separately charged is a one-time foreign deposit account enabling fee and a fixed fee for each incoming foreign deposit.
Can FV Bank be a primary banking relationship?
For fintech/crypto business—yes. For a UHNW client without digital-asset focus—no, the main account is better kept at an FCA/MAS/FINMA-regulated bank.