The U.S. Federal Deposit Insurance Corporation (FDIC) investigation into the collapse of Signature Bank found that the root cause of its troubles was “poor management” and risky crypto deposits.
The FDIC released its comprehensive report on Signature Bank and the reasons that led to its failure on April 28. The regulator’s review covered the period between Jan. 1, 2019, to March 12 — when the New York-chartered bank was seized by regulators after experiencing an $18.6 billion bank run within a matter of hours.
Risky deposits
Before its collapse, Signature Bank had $110 billion in assets under management and was the 29th largest lender in the U.S. It experienced rapid growth between 2019 and 2021 after expanding services to crypto-related companies.
However, the regulator found that the vast majority of Signature’s deposits were uninsured and prone to withdrawal if there were ever concerns about the bank failing — and that is essentially what happened when two banks conside
We współpracy z: https://cryptoslate.com/fdic-says-signature-bank-failed-due-to-mismanagement-risky-crypto-deposits/
