Robinhood fund purchases $30M stake in crypto lender Erebor Bank
CIE News ·
Based on reporting by CryptoRank; not yet independently confirmed.
Robinhood Ventures Fund I finalized a $30 million preferred stock purchase in Erebor Bank, a nationally chartered institution holding over $7 billion in deposits, dealroom.co reported.
Robinhood Ventures Fund I has completed the purchase of a $30 million preferred stock stake in Erebor Bank, National Association, dealroom.co reported. The investment was finalized on September 17, 2026, and officially announced by the NYSE-listed closed-end fund on October 21, 2026.
Erebor Bank was founded in 2025 by Palmer Luckey, Owen Rapaport, Jacob Hirshman, Aaron Pelz, and Trevor Capozza. The lender provides crypto-backed loans, blockchain-enabled payment systems, and financing for artificial intelligence infrastructure. It secured its national bank charter from the Office of the Comptroller of the Currency alongside FDIC insurance in February 2026, and customer deposits have since grown to more than $7 billion.
The investment represents an expansion into core financial infrastructure for the Robinhood fund, according to dealroom.co. Erebor is also backed by venture firms including Valor Equity Partners, Lux Capital, and 8VC, while the final ownership percentage resulting from the preferred stock transaction was not disclosed.
Key facts
- $30M preferred stock purchase
- Finalized September 17, 2026
- Over $7B in deposits
- Chartered in February 2026
Read the original at CryptoRank