Erebor plans to raise $1.5B to support tech startups at an $8B+ valuation

Erebor Bank, the digital national bank co-founded by Oculus founder and Anduril Industries chief Palmer Luckey, is in talks to raise approximately $1.5 billion at a valuation of at least $8 billion. That valuation would represent a near-doubling from where the bank stood just seven months ago. Fast growth by any measure Erebor’s deposit growth tells the story better than any pitch deck. The bank held $1.1 billion in deposits at the end of March 2026. By mid-2026, that figure had climbed to roughly $4.05 billion, a near-quadrupling in a matter of months. The bank launched with initial capital of approximately $635 million and received its national banking charter in February 2026, the first such charter granted under the current administration. That regulatory milestone gave Erebor the legal footing to operate at scale across state lines, something that had previously complicated banking for many tech-sector clients. Its December 2025 funding round, a $350 million raise led by Lux Capital, valued the company at $4.35 billion post-money. The current discussions would value the bank at more than $8 billion. A bank built for founders, not retirees Erebor describes itself as a “farmers’...