The New York regulator said Signature Bank didn’t go bankrupt because of crypto.
In the US, the failures of crypto-linked banks have been on the agenda in recent weeks. However, some crypto organizations have decided to store their funds in banks in another way.
New York Regulator Says Signature Bank Hasn’t Failed Because of Crypto
The collapse of some high-profile banks in the USA made it questionable whether the financial system was damaged. Crypto assets of bankrupt banks were on the agenda. However, some crypto organizations have come up with other solutions to recover crypto funds from failing banks.
The New York regulator said in a recent statement that Signature Bank did not go bankrupt because of crypto.
Former Representative Barney Frank criticized the New York Department of Financial Services for the bank’s early involvement in the digital asset industry. Adrienne Harris appeared before the congressional committee to disprove the notion that Signature Bank failed due to its exposure to the crypto industry.
While Harris stated that Signature Bank customers withdraw their money from the bank, this situation is not related to crypto. While Maxine Waters pressed on whether cryptocurrency played a role in Signature Bank’s collapse, Harris’ remarks came during a legislative hearing in the US to create a regulatory framework adapted to stablecoins.
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