Day: March 12, 2023

U.S. authorities preparing ‘material action’ to curb SVB contagion

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United States authorities are working on “material action” over the weekend in an attempt to limit the ripple effect across the country’s banking system after the Silicon Valley Bank abruptly collapsed on March 10. According to a Reuters report citing unnamed sources, officials in the Joe Biden administration assessed the impact of the bank failure over the weekend with a keen attention to venture capital firms and regional banks. “This will be a material action, not just words,” a source told Reuters. During a speech on March 6, the Federal…

How blockchain technology revolutionizes digital ownership?

Nonfungible tokens (NFTs) prove ownership by creating a unique digital certificate for a specific asset. A decentralized digital ledger that keeps track of all nonfungible token transactions and ownership changes is used to create each NFT. When generated, an NFT has a unique digital signature, signifying the ownership of the asset it stands for. This signature is recorded on the blockchain with all the information about the asset and the transaction. Since the blockchain is decentralized and offers immutability, it provides a secure and transparent record of ownership that cannot…

FDIC bidding for Silicon Valley Bank is in progress: Report

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The United States Federal Deposit Insurance Corporation (FIDC) started an auction process on March 11 night for Silicon Valley Bank, Bloomberg reported citing unnamed sources. Bids are allegedly open for just a few hours, before the process closes later this Sunday.  According to Bloomberg sources, the FDIC is seeking a buyer for the California bank over the weekend, ahead of the markets open on March 13. However, a final decision has not been made, and a deal may not be reached. Earlier today, the U.S. Treasury Secretary Janet Yellen said…

US Treasury Secretary Rules Out Government Bailout of Silicon Valley Bank – Featured Bitcoin News

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U.S. Treasury Secretary Janet Yellen has ruled out a government bailout of the collapsed Silicon Valley Bank (SVB), which was shut down by regulators on Friday. Yellen explained that the reforms put in place after the 2008 financial crisis were aimed at preventing the need for government bailouts. Government Not Considering a Bailout for SVB, Says Yellen U.S. Treasury Secretary Janet Yellen stated in an interview on CBS News, aired Sunday, that the government is not considering a bailout for the collapsed Silicon Valley Bank (SVB). The bank was shut…

Watch these 5 cryptocurrencies for a potential price rebound next week

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Traders dumped risky assets following the crisis and failure of Silicon Valley Bank (SVB). The S&P 500 Index plunged 4.55% while Bitcoin (BTC) is down about 9% this week.  The collapse of SVB led to a crisis in the crypto space with USD Coin (USDC) losing its peg to the U.S. dollar on reports that $3.3 billion of Circle’s $40 billion of USDC reserves were held at SVB. After trading near $0.87 on March 11, USDC has climbed up above $0.96 at the time of publication. SVB’s failure has increased…

MakerDAO surge following new proposal on stablecoins

MakerDAO is insulating itself from the vulnerability to risk associated with stablecoins according to the firm’s new proposal. It is a reaction to the recent depegging of USDC, which has rekindled worries over stablecoins in poor market circumstances. This proposal has seen MKR gain over 5% in the last 24 hours, trackers on Mar. 11 show. The urgent proposal aims to solve the problem associated with unstable cryptocurrencies. The latter will emphasize minimizing exposure to unstable stablecoins while simultaneously working to increase the DAI peg’s resilience. DAI is an algorithmic stablecoin issued…

UK regulators moving “at pace” to deliver a plan for tech firms hurt by SVB collapse

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A plan to rescue startups and tech companies affected by the Silicon Valley Bank collapse is underway in the United Kingdom, according to multiple reports on March 12. The emergency plan will include a cash lifeline to a number of businesses.  Prime Minister Rishi Sunak said the government is working “at pace” to deliver a plan in the coming hours that would secure “operational liquidity and cash-flow needs” for Silicon Valley Bank’s UK clients. In a statement published today, the U.K. Treasury stated: “We will bring forward immediate plans to…