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A comment on U.S. FDIC tells Signature crypto clients to close accounts by April 5. Parent comment

Re:U.S. FDIC tells Signature crypto clients to close account... by VagueMag on Tuesday March 28, 2023 @08:53PM (#35350512)
NYFDS didn't organize the Silicon Valley Bank run on Slack, or make them go too far out on a limb with duration risk in the first place.

They also didn't cause Signature to suffer a run so severe they couldn't even say for sure what the size was of their deficit at the Fed: https://www.fdic.gov/news/speeches/2023/spmar2723.pdf

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Re:U.S. FDIC tells Signature crypto clients to close account... by hanniabu on Tuesday March 28, 2023 @08:58PM (#35350547)
> NYFDS didn't organize the Silicon Valley Bank run on Slack

You're right, Elizabeth Warren was just inciting panic talking about a rank run when there wasn't one in order to create one

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Re:U.S. FDIC tells Signature crypto clients to close account... by eli on Tuesday March 28, 2023 @09:06PM (#35350618)
maybe don’t believe everything you read on twitter
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Re:U.S. FDIC tells Signature crypto clients to close account... by mikeyouse on Tuesday March 28, 2023 @09:24PM (#35350802)
Just the laziest conspiracy theory too. Signature had nearly 90% uninsured deposits and 20% of their deposit base was from crypto or other "digital asset" companies. It was set up for a bank run.

They lost 20% of their deposits in a matter of hours on the Friday of the SVB collapse which left them with a negative balance at the Fed. When the Fed and FDIC asked them how many withdrawals were queued up for Monday morning and how much money they needed to borrow from the Fed window to stay solvent, the bank couldn't tell them because their systems weren't capable of doing so. Absolute clown show.

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