LevelField Financial, a digital-asset fintech company, got conditional approval from the Illinois Department of Financial and Professional Regulation (IDFPR) to acquire Chicago’s Burling Bank, according to the company’s announcement on Monday. If approved, the deal would transform Burling Bank into LevelField Bank, a fully FDIC-insured banking service offering both traditional and crypto-integrated banking services in all U.S. states and territories. Gene A. Grant II, CEO of LevelField Financial, stated that obtaining approval marked a significant milestone for LevelField and represented a crucial step in introducing crypto services to regulated banking. He also stated that the company remains committed to stringent supervisory standards while increasing access to digital assets for users and companies. Despite receiving approval from the Illinois regulator, the fintech company is still waiting for confirmation from the Board of Governors of the Federal Reserve to become a bank holding company. After the last step is completed, LevelField Bank can fully operate in accordance with federal banking rules, while also introducing digital assets into its products. Burling Bank is a relatively small commercial bank holding around $196 million in net assets and $158 million in customer deposits, according to Visbanking data. LevelField plans to utilize the bank’s foundation to develop a cutting-edge digital crypto-banking platform. LevelField plans 24/7 crypto banking LevelField Bank wants to integrate its traditional and digital assets into a single, 24/7 banking service. Soon enough, customers could eventually gain access to Bitcoin-backed loans , credit, and debit cards that reward users with Bitcoin, as well as services such as digital-asset trading and custody. In particular, the bank will focus on underbanked industries, including small businesses and sectors with limited access to conventional banking services. Grant II stated that all services will be underpinned by U.S. banking rules, providing a level of both security and legal oversight not available to many standalone crypto companies. LevelField has some analysts seeing its shift as a step toward American bank governance and the possibility that it will be the first fully regulated, FDIC-insured, chartered bank in the U.S. to introduce cryptographic services nationwide. It also follows a pattern set by many fintechs to bridge the gap between digital assets and mainstream financial institutions. LevelField pushes forward after the previous withdrawal LevelField first applied to acquire Burling Bank in February 2023 but withdrew its application in February 2024. The company submitted a second application in December 2024, which has now received conditional approval. Industry analysts said that the regulatory approval heralds a change in the rules governing crypto banking. Previous crypto-friendly banks, such as Silvergate, Silicon Valley Bank , and Signature Bank, which had all gone bankrupt earlier this year, had prompted regulators to adopt a cautious approach to crypto adoption. LevelField’s methodical style of working — and its compliance with supervisory processes — may have given regulators some peace of mind that it is capable of connecting crypto and conventional banking safely. That purchase puts LevelField at the intersection of traditional finance and crypto innovation. And it’s a world where digital assets can exist alongside insured banks, thereby facilitating the greater adoption of cryptocurrencies. The sale is also indicative of broader market concerns. U.S. banking groups have warned that widespread investment in yield-bearing stablecoins could wipe out deposits from conventional banks and might ultimately take $6.6 trillion from the banking system, according to U.S. Treasury estimates as of April 2025. LevelField may offer a safer product to anyone who wants exposure to other digital assets and keeps funds within the insured banking chain. Join Bybit now and claim a $50 bonus in minutes
