Signature Bank was sold without its cryptocurrency part – Bits Media

Federal Corporation for US Deposit Insurance (FDIC) sold Signature Bank without its cryptocurrency part. FROM 20 Martha 40 Former Signature offices will operate Flagstar Bank.

Signature investors, In addition to those, who is associated with digital banking business, automatically become Flagstar bank depositors, owned by New York Community Bancorp. All deposits, Accepted Flagstar, FDIC will still be insured.

The application for the purchase of Signature assets from Flagstar did not include deposits in the amount of about $4 billion, related to the digital business of the bank. FDIC will provide access to these deposits to customers, Whose accounts are related to the bank digital business.

Signature was founded in 2021 year. At the time of collapse, he had more of them $110 billion in assets. The bank's activities were multidirectional and cryptocurrency was not the main priority, Like Silvergate. The bank began to engage only at the end 2018 of the year. They made up about 23% From all deposits, At the same time, Signature was going to reduce their share to 15%.

Earlier information appeared in the media, that FDIC sets the condition for future buyers Signature: They must abandon the entire cryptocurrency business of the bank. FDIC also sought to sell Silicon Valley Bank (SVB) And Signature whole. but, If it fails, The corporation can consider sales in parts.

but, FDIC refuted these rumors. The representative of FDIC mentioned two joint statements, One of which says, that banks are "not forbidden" to provide services to any sector. According to the representative of the agency, The buyer himself will inform FDIC, What assets and obligations of a bankrupt bank he is ready to take.

In addition to Signature, In March 2023 years Silvergate and Silicon Valley have also announced the termination of operations.