New York Regulator Says Signature Bank Closure Has ‘Nothing To Do’ With Crypto: Reuters

The decision to close Signature Bank over the weekend had nothing to do with cryptocurrencies, a spokesperson for the New York State Department of Financial Services (NYDFS) told Reuters on Tuesday.

Quick Facts

  • The NYDFS said the bank had “a serious crisis of confidence in the bank’s leadership” and that the closure was “based on the current state of the bank and its ability to conduct business in a safe and sound manner,” the report said.
  • The authority’s statement came after Signature Bank board member and former congressman Barney Frank told CNBC that the shutdown was related to “regulators wanting to send a very strong anti-cryptocurrency message.”
  • On Sunday, NYDFS said it had taken over Signature Bank “to protect depositors.”
  • Signature Bank’s collapse follows the collapse of California-based cryptocurrency bank Silvergate Capital last week and the closure of Silicon Valley Bank on Sunday, which resulted in Circle’s USDC stablecoin being pegged to the U.S. dollar.
  • In an interview with Forkast this week, Circle chief strategy officer Dante Disparte said the recent impact on U.S. banking was a “stress test” for traditional finance and Crypto assets, but “we have a powerful opportunity to ride through this together.”

Information source: compiled by 0x information from FORKAST.The copyright belongs to the author Timmy Shen, and shall not be reproduced without permission

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