Tag: Bank

Paxos’ hopes of becoming a national bank die, application for charter expires

Details from the United States Office of the Comptroller of Currency (OCC) show that Paxos’ application for a national banking charter, under “2020-NE-Charter-318305”, expired on March 31. Paxos national banking charter application expires Paxos, a stablecoin issuer regulated by the New York Department of Financial Services (NYDFS), had applied for a license under the Charter National Bank Under Holding Company (Trust Bank).  The OCC received the application on Dec. 8, 2020, and gave them the “preliminary conditional approval” on April 23, 2021. However, by the time the application expired on March 31,…

New York Regulator Calls Crypto Theories Associated With Signature Bank Closure ‘Ludicrous’ – Regulation Bitcoin News

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Adrienne A. Harris, the superintendent of New York’s Department of Financial Services, has branded as “ludicrous” the claims that the closure of Signature Bank was related to its crypto business. Harris insisted that the bank’s “high percentage of uninsured deposits” and insufficient liquidity were some of the reasons why it was closed. Signature Bank’s Liquidity Challenges Head of the New York State’s Department of Financial Services (DFS), Adrienne A. Harris, recently reiterated the regulator’s stance that the closure of Signature Bank had nothing to do with its crypto banking business.…

Central Reserve Bank of Peru Finalizes CBDC Research Stage, Three More Phases to Production 

The President of Central Reserve Bank of Peru (CBRP), Julio Velarde Flores, announced in November 2021 that the country would cooperate with India, Singapore and Hong Kong to develop a CBDC. The Central Reserve Bank of Peru (CBRP) has recently published a report on the need for a well planned Central Bank Digital Currency (CBDC) in boosting the fiat market. Moreover, the country has recorded a huge influx of crypto related businesses with Bitcoin transactions on the rise. In order to maintain a healthy digital economy, the CBRP has collaborated…

Singapore to introduce uniform screening standards for crypto bank accounts

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Singapore regulators work together with traditional banks to develop uniform standards for screening potential customers from the crypto industry. The collaboration has been ongoing for the last six months.  According to a Bloomberg report from Apr. 6, the Monetary Authority of Singapore (MAS) has been working alongside the police forces to help local banks optimize their procedures for opening accounts of digital asset service providers. After half a year of cooperation, its results and conclusions for risk management and due diligence would be published in the next two months. The…

Central Bank of Sri Lanka Warns of ‘Significant Risks’ in Using and Investing in Crypto – Regulation Bitcoin News

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Sri Lanka’s central bank has issued a warning about “the significant risks associated with using and investing in cryptocurrency.” The central bank reminded the public that “cryptocurrencies are unregulated investment instruments which are not recognized as an asset class in Sri Lanka.” Sri Lanka’s Crypto Warning The Central Bank of Sri Lanka (CBSL) issued a notice last week, warning the public of “the significant risks associated with using and investing in cryptocurrency.” The Sri Lankan monetary authority explained that it recently received complaints showing that “members of the public have…

Yellen Says US ‘Not Willing to Allow Contagious Bank Runs,’ Calls OPEC Oil Production Cut ‘Unconstructive’ – Economics Bitcoin News

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Roughly 26 days ago and in the following days, the U.S. witnessed two significant bank failures when Silicon Valley Bank and Signature Bank collapsed. After speaking at an event on Monday at Yale University, Janet Yellen, the current U.S. Treasury secretary, told reporters that she was closely monitoring the banking industry. Yellen insisted that “matters are stabilizing” and the Treasury was “not willing to allow contagious [bank] runs to develop” in the United States. Treasury Secretary Yellen Addresses Recent Bank Failures and Emphasizes Stability in the U.S. Banking System U.S.…

ANZ bank completes Australian CBDC use case for carbon credit trading

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Australia and New Zealand Banking Group (ANZ) has completed its use case in the pilot project run by the Reserve Bank of Australia (RBA) and Digital Finance Cooperative Research Centre using central bank digital currency (CBDC). ANZ partnered with Grollo Carbon Ventures (GCV) to trade carbon credits. ANZ tokenized Australian Carbon Credit Units (ACCUs) and GCV used its A$DC stablecoin to trade carbon credits on a public, permissionless blockchain. Settlement occurred “in near real-time via ANZ smart contracts,” the bank said. Australian CBDC was used to back A$DC. ANZ banking…

USDC Boasted Transparency. It Didn’t Help When Silicon Valley Bank Got Into Trouble

On a long enough timeline, another significant stablecoin test, like the one that faced USDC, is inevitable. The reasons for the next one will be difficult to predict, and likely different from the last one. While opacity and a nonchalant approach to reserve management may not have been punished this time around (indeed, they seem to have been rewarded), if issuers internalize these lessons, then the next stablecoin crisis will only come sooner, and at a much larger scale. Source

Tether ‘unequivocally reiterates’ no exposure to Signature Bank

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After a Bloomberg article alleged exposure between stablecoin provider Tether and the now-collapsed Signature Bank, rumors began to circulate regarding the involvement between the two companies.  However Tether immediately reached out to clarify the claims made in the original article. In an email sent to Cointelegraph among other outlets, Tether gave an official response to the situation in which it said it wants to “unequivocally re-iterate that it has no exposure to Silvergate, Silicon Valley Bank and Signature Bank.” The stablecoin issuer went on to highlight a section of the…