{"id":563240,"date":"2023-03-13T21:56:20","date_gmt":"2023-03-13T18:56:20","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/us-regulators-shut-down-signature-bank-despite-no-insolvency-report\/"},"modified":"2023-03-13T21:56:20","modified_gmt":"2023-03-13T18:56:20","slug":"us-regulators-shut-down-signature-bank-despite-no-insolvency-report","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/us-regulators-shut-down-signature-bank-despite-no-insolvency-report\/","title":{"rendered":"# US regulators shut down Signature Bank despite \u2018no insolvency\u2019: Report"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a256fa541600\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a256fa541600\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/us-regulators-shut-down-signature-bank-despite-no-insolvency-report\/#%E2%80%9D_US_regulators_shut_down_Signature_Bank_despite_%E2%80%98no_insolvency_Report_%E2%80%9C\" >&#8221; US regulators shut down Signature Bank despite \u2018no insolvency\u2019: Report &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_US_regulators_shut_down_Signature_Bank_despite_%E2%80%98no_insolvency_Report_%E2%80%9C\"><\/span>&#8221; US regulators shut down Signature Bank despite \u2018no insolvency\u2019: Report &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjMtMDMvMzg4OTMwZDQtYmE3Ny00ZmExLTgzYTctNWJjOGI1YzUyMzFkLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-48054ca8>Barney Frank, a former member of the United States House of Representatives, has reportedly suggested that New York regulators closed the crypto-friendly Signature Bank as part of a seeming show of force.<\/p>\n<p>According to a March 13 CNBC report, Frank \u2014 also a board member of Signature Bank \u2014 <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.cnbc.com\/2023\/03\/13\/signature-bank-third-biggest-bank-failure-in-us-history.html\" data-amp=\"https:\/\/www-cnbc-com.cdn.ampproject.org\/c\/s\/www.cnbc.com\/amp\/2023\/03\/13\/signature-bank-third-biggest-bank-failure-in-us-history.html\">said<\/a> the only indication of problems at the bank was a deposit run of more than $10 billion on March 10, which he called \u201cpurely contagion\u201d from the Silicon Valley Bank fallout. The New York Department of Financial Services took control of Signature\u00a0on March 12 and <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ointed the U.S. Federal Deposit Insurance Corporation to handle the insurance process.<\/p>\n<p>\u201cI think part of what happened was that regulators wanted to send a very strong anti-crypto message,\u201d said Frank. \u201cWe became the poster boy because there was no insolvency based on the fundamentals.\u201d<\/p>\n<p>Signature was the third major bank with ties to crypto to collapse in the last week following Silvergate Bank&#8217;s parent company announcing it would\u00a0\u201cvoluntarily liquidate\u201d the firm on March 8 and\u00a0California\u2019s financial watchdog shutting down Silicon Valley Bank on March 10. Messari founder and CEO Ryan Selkis\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/twobitidiot\/status\/1635314474260512770\">echoed<\/a> Frank\u2019s statements, claiming both Silvergate and Signature were solvent at the time authorities acted.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Silvergate is still solvent, despite an unprecedented 90 day $12 billion liquidation sparked by a corrupt sitting Senator who coordinated a bank run w\/ short sellers.<\/p>\n<p>Signature was healthy. NYDFS went rogue in shutting them down, and surprised even the FDIC.<\/p>\n<p>It&#8217;s targeted.<\/p>\n<p>\u2014 Ryan Selkis  (@twobitidiot) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/twobitidiot\/status\/1635314474260512770?ref_src=twsrc%5Etfw\">March 13, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>Senator\u00a0Elizabeth Warren, a well-known anti-crypto voice in the U.S. government, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.nytimes.com\/2023\/03\/13\/opinion\/elizabeth-warren-silicon-valley-bank.html\" data-amp=\"https:\/\/www-nytimes-com.cdn.ampproject.org\/c\/s\/www.nytimes.com\/2023\/03\/13\/opinion\/elizabeth-warren-silicon-valley-bank.amp.html\">said<\/a> in a New York Times op-ed that the blame for Silicon Valley Bank largely rested on the former presidential administration, which rolled back \u201ccritical parts\u201d of the Dodd-Frank Act in 2018, as well as federal regulators who \u201cmade a bad situation worse.&#8221; She called for Congress, banking regulators and the current administration to reverse these actions as an \u201cim<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a>te priority.&#8221;<\/p>\n<p>&#8220;Had Congress and the Federal Reserve not rolled back the stricter oversight, S.V.B. and Signature would have been subject to stronger liquidity and capital requirements to withstand financial shocks,&#8221; said Warren. &#8220;They would have been required to conduct regular stress tests to expose their vulnerabilities and shore up their businesses. But because those requirements were repealed, when an old-fashioned bank run hit S.V.B\u200c., the\u200c bank couldn\u2019t withstand the pressure \u2014 and Signature\u2019s collapse was close behind.&#8221;<\/p>\n<p><strong><em>Related:\u00a0Silicon Valley Bank collapse: Everything that\u2019s happened until now<\/em><\/strong><\/p>\n<p>The situation with Signature Bank, Silicon Valley Bank and Silvergate Bank is still developing, but affected SVB shareholders have already filed a lawsuit in federal court, accusing the crypto bank and two of its executives of fraud. USD Coin (USDC) temporarily depegged from the dollar amid reports issuer Circle had more than $3 billion of the stablecoin\u2019s reserves at SVB, but it has since returned to $1.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"law_decoded\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/us-regulators-shut-down-signature-bank-despite-no-insolvency-report\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; US regulators shut down Signature Bank despite \u2018no insolvency\u2019: Report &#8220; Barney Frank, a former member of the United States House of Representatives, has reportedly suggested that New York regulators closed the crypto-friendly Signature Bank as part of a seeming show of force. According to a March 13 CNBC report, Frank \u2014 also a&#8230;<\/p>\n","protected":false},"author":1,"featured_media":563241,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/388930d4-ba77-4fa1-83a7-5bc8b5c5231d.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[141254,71939,70934,33355,67874],"class_list":["post-563240","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-signature-bank","tag-banks","tag-regulation","tag-silicon-valley","tag-united-states"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/563240","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=563240"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/563240\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/563241"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=563240"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=563240"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=563240"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}