Minnesota State-Chartered Banks Get Greenlight for Crypto Custody Services

Minnesota has enacted a new law permitting state-chartered banks and credit unions to offer cryptocurrency custody services. This move follows Wall Street's expansion into the digital asset sector.

The legislation will come into effect on August 1st, 2026, and includes a ban on cryptocurrency ATMs and self-service terminals across the state.

Institutions offering custody services must adhere to rigorous federal compliance standards but are exempt from federal deposit insurance coverage.