After Silvergate, Silicon Valley and Signature Bank has closed down in America

Mar Mon 2023 04:24:04

498 views

After Silvergate, Silicon Valley  and Signature Bank has closed down in America

Kathmandu. Two days after the closure of Silicon Valley Bank in the US, state regulators have also closed New York-based Signature Bank. US regulators closed New York-based Signature Bank on Sunday to prevent a potential banking crisis. The Treasury, Federal Reserve, and FDIC issued a joint statement Sunday evening announcing the bank closure.

Although Signature Bank was closed as the third bank closure in American history, the US Treasury Department and other bank regulators issued a joint statement on Sunday saying that all of Signature Bank's depositors' funds are safe.

The announcement was made by the U.S. federal government to prevent the widespread negative impact of problems with tech startup-focused lenders.

Signature Bank is one of the main banks investing in the cryptocurrency industry. As of Dec. 31, Signature Bank had $110.4 billion in total assets and $88.6 billion in total deposits, according to a securities filing.

Signature Bank had a long-standing relationship with former President Donald Trump and his family, providing checking accounts for Trump and his businesses and financing several of the family's ventures. Signature Bank severed ties with Trump in 2021 after the deadly riots on Capitol Hill on January 6 and called on Trump to resign.

Signature Bank is a New York-based commercial bank with 38 private client offices throughout New York, Connecticut, California and North Carolina. This bank was opened in the year 2001.

Along with this, three banks have been closed in the US in the last one week. Silvergate Bank closed on March 9 before Silicon Valley Bank closed on Friday.