USDC issuer Circle Internet Financial said late Friday it “awaits clarity” from federal banking regulators on the status of its deposits at Silicon Valley Bank, one of the six financial institutions it said are responsible for managing one quarter of the assets backing its $43 billion stablecoin. Source
CryptoX – Cryptocurrency Analysis and News Portal A regulatory filing shows the shuttered bank as one of three custodians for Pantera’s funds. Source The post Crypto VC Firm Pantera Used Silicon Valley Bank as a Custodian appeared first on CryptoX. CryptoX Portal
Yes, SVB was tech-forward and, while not necessarily “crypto-friendly,” it did bank crypto hedge funds and VCs like Blockchain Capital, Castle Island Ventures, Dragonfly and Pantera (oh, and even CoinDesk). SVB didn’t fail because of any of these businesses. Even though it might make sense to be critical of depositor concentration in most cases, that doesn’t apply here. Source
The views and opinions expressed here belong solely to the author. Niche banks continue to fall apart. The Silvergate failure is being followed by Silicon Valley Bank (SVB), which collapsed on March 10. After a failed attempt to raise capital, SBV has been taken over by the Federal Deposit Insurance Corporation (FDIC). The bank will be sold or liquidated. In heavy trade on March 10, Signature Bank is on the rocks. It is down 21.11% at press time at $69.65, but traded near $61 earlier in the day from a…
The full list of banks that held cash for Circle’s USDC are Bank of New York Mellon, Citizens Trust Bank, Customers Bank, New York Community Bank (a division of Flagstar Bank, N.A.), Signature Bank, Silicon Valley Bank and Silvergate Bank. Circle also keeps some part of USDC reserves in a dedicated Blackrock fund. Source
Amid the demise of Silvergate Bank and the troubles faced by Silicon Valley Bank (SVB), market analysts believe Signature Bank (SBNY) may be a buy as it’s considered the “last game in crypto-town,” according to Wells Fargo equity analyst Jared Shaw. Silvergate’s liquidation caused SBNY shares to sink on Friday, dropping more than 13% as the day’s trading sessions on Wall Street began. Piper Sandler and Wells Fargo Analysts Suggest Signature Bank May Be a Buy Crypto markets experienced a tumultuous week following the disclosure on March 8, 2023, of…
After Silicon Valley Bank (SVB) experienced financial turmoil, the U.S. Federal Deposit Insurance Corporation (FDIC) and the California Department of Financial Protection and Innovation closed the financial institution. Insured depositors can withdraw their funds on Monday after the FDIC took over the failed bank. Federally Insured Depositors to Withdraw Funds on Monday, Uncertainty Looms for Depositors With Accounts Exceeding $250K On Friday, U.S. regulators closed Silicon Valley Bank (SVB) following a significant drop in the firm’s stock value and reports of a bank run on deposits. SVB’s shares were halted…
CryptoX – Cryptocurrency Analysis and News Portal Every U.S. bank is facing similar structural pressures to what drove crypto’s one-time favorite bank to the moon – then into the ground. Original Source The post A Tale of 2 Banks: Why Silvergate and Silicon Valley Bank Collapsed appeared first on CryptoX. CryptoX Portal
Silicon Valley Bank, a major financial institution for venture-backed companies, was shut down by California’s financial watchdog on March 10 — marking the first Federal Deposit Insurance Corporation-insured bank to fail in 2023. The California Department of Financial Protection and Innovation confirmed that Silicon Valley Bank was ordered to close but did not specify the reason for the shutdown. The California regulator appointed the FDIC as the receiver to protect insured deposits. Depositors “will have full access to their insured deposits no later than Monday morning, March 13, 2023,” read…
While not perceived as “crypto-friendly” as Silvergate, the tech-forward Silicon Valley Bank did count a number of crypto entities as clients – especially hedge funds and VC firms. According to CoinDesk research, Blockchain Capital, Castle Island Ventures, Dragonfly and Pantera all had relationships with the bank. Source