The Federal Reserve Board further expounded on the risk management deficiencies it found at Custodia Bank as part of the digital-first bank’s application to become a member of the Federal Reserve System.

In its decision published Friday, the Fed said its review of Custodia’s application found “significant deficiencies” in the bank’s “risk management and controls for its core banking activities.”

The Fed previously announced its denial of Custodia’s application in January, ruling at the time the bank’s proposed activities would be “highly likely to be inconsistent with safe and sound banking practices.” Custodia is a state-registered bank in Wyoming.