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☆ A real estate CEO predicts hundreds of banks will fail or be taken over by 2026
▼ + stars: | 2024-03-06 | by ( Theron Mohamed | ) www.businessinsider.com time to read: +3 min

A real estate boss expects at least 500 banks to fail or be taken over in the next two years. Scott Rechler, CEO of RXR, said the maturing of commercial real estate loans would hit smaller lenders. Commercial real estate has been hit by declining asset prices, costlier borrowing, and tighter lending. AdvertisementHundreds of American banks will collapse or be taken over by 2026, a top real estate executive predicted. Silicon Valley Bank, Signature Bank, and Silvergate Bank folded last spring after worries about their health spurred a wave of deposit withdrawals.

Persons: Scott Rechler, —, Fortune, I'm, It's, Jamie Dimon's Organizations: Service, Deposit Insurance Corporation, Silicon Valley Bank, Signature Bank, Silvergate Bank, New, New York Community, Federal Reserve, JPMorgan Locations: New York

REUTERS/David 'Dee' Delgado/ Acquire Licensing RightsOct 3 (Reuters) - The global cryptocurrency market remains badly scarred following the tumultuous collapse of crypto exchange FTX and other big players last year, with crypto prices, volumes and venture capital investment well below their 2021 peaks. BITCOIN BLUESBitcoin, by far the biggest cryptocurrency and the chief barometer for crypto market sentiment, has bounced back about 37% since Nov. 1. Reuters Image Acquire Licensing RightsCRUMBLING MARKET CAPAfter peaking at $3 trillion in November 2021, the value of the overall crypto market plummeted through 2022, hitting a two-year low of $796 billion as FTX imploded. Yet the relative calm in crypto markets is not necessarily a good thing, said some market participants, noting that many investors are attracted to crypto precisely because of its volatility, which offers opportunities to make quick profits. Reuters GraphicsVC CRYPTO BETS TUMBLEVenture capital (VC) investments flooded into crypto during its boom year of 2021, and even through 2022.

Persons: Damian Williams, Samuel Bankman, David, Dee, Delgado, Sam Bankman, FTX, cryptocurrencies, Bitcoin, bitcoin, Ben Laidler, Usman Ahmad, Anders Kvamme Jensen, Robert Le, CCData, Noelle Acheson, Hannah Lang, Elizabeth Howcroft, Tom Wilson, Michelle Price, Andrea Ricci Organizations: REUTERS, Capital, Silvergate Bank, BlackRock, Reuters, Zodia, Chartered, Reuters Graphics, U.S, Venture, Thomson Locations: New York City, U.S, New York, Singapore, London, Washington

☆ ‘Liquid staking’ is one pocket of crypto seeing big growth this year. Here’s what investors need to know
▼ + stars: | 2023-09-10 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +5 min

Liquid staking protocols give investors access to liquidity while staking their funds. In April, the total value locked in liquid staking protocols began outpacing the total value locked in lending protocols and decentralized exchanges, according to DefiLlama. Here's what investors need to know about liquid staking compared to regular staking. It's less risky Like anything in crypto, liquid staking isn't without its risks – primarily technological and regulatory. "Staking as an activity has become too risky and it's a no-brainer for many people who are considering vanilla staking versus liquid staking," said Christine Kim, vice president of research at Galaxy.

Persons: It's, Conor Ryder, Ethereum, stakers, Riad Wahby, Wahby, Christine Kim, Ryder, USDT – Organizations: Silvergate Bank, Ethena Labs, Galaxy Locations: DeFi, Shanghai, Solana, Polkadot

☆ Binance Moved Billions Through Two U.S. Banks, Regulators Say
▼ + stars: | 2023-06-07 | by ( Emily Flitter | Matthew Goldstein | ) www.nytimes.com time to read: +1 min

accountant, Sachin Verma, detailed a tangle of transactions that companies associated with the giant cryptocurrency exchange had made through two banks: Silvergate Bank and Signature Bank, both of which failed this year. separately said it estimated unpaid taxes by Binance over the past four years carried an interest penalty of more than $13 million. Though it estimated that Binance earned almost $225 million from 2019 to 2023, the regulator didn’t say how much the company paid in taxes over the period, or how much it should have paid. sued Binance in federal court in Washington, D.C., accusing the company of mishandling customer funds, lying to regulators and investors about its operations and engaging in manipulative trading. U.S. regulators have asked a federal judge to temporarily freeze assets tied to Binance’s subsidiary in the United States, and Wednesday’s filing was in support of that request.

Persons: Sachin Verma, Changpeng Zhao, Binance Organizations: Securities and Exchange, Silvergate, Signature Bank, Washington , D.C Locations: Kazakhstan, Lithuania, Seychelles, Washington ,, U.S, United States

☆ SEC asks for emergency order to freeze Binance US assets anywhere in the world
▼ + stars: | 2023-06-06 | by ( Rohan Goswami | In Rohangoswamicnbc | ) www.cnbc.com time to read: +1 min

Co-founder and CEO of Binance, Changpeng Zhao, speaks on stage during the opening night of Web Summit 2022. The freezing order only applies Binance's two U.S. holding companies, not to the non-U.S. regulated international exchange. The order would apply to dozens of accounts held at Axos Bank, the defunct Silvergate Bank, Prime Trust, and other institutions. The emergency restraining order was necessary, the regulator argued, to "prevent the dissipation of available assets for any judgment, given the Defendants' years of violative conduct, disregard of the laws of the United States." The restraining order would also prevent all three entities from destroying evidence.

Persons: Changpeng Zhao, Zhao Organizations: The Securities, Exchange Commission, Binance's, Axos Bank, Silvergate Bank, Prime Trust, Sigma Chain, SEC Locations: Washington ,, Binance's U.S, United States

After receiving $145 million from Binance.US's operator by 2021, Sigma Chain spent $11 million on buying a yacht, the SEC complaint said, without elaborating. It is unclear from the SEC complaint how much money Zhao is alleged to have drawn from Merit Peak and Sigma Chain. The SEC also said Zhao used Merit Peak to direct more than $16 million to fund Binance's purportedly independent U.S. affiliate Binance.US. Binance used its BUSD holdings to meet customer withdrawals by selling them for dollars as needed, Reuters reported in May. The SEC complaint also identified Binance Labs, a venture capital arm of Binance, as part of the exchange's plan to increase demand for BNB.

Persons: Zhao, Binance, Benoit Tessier LONDON, Changpeng Zhao, John Reed Stark, Stark, Binance's, Angus Berwick, Tom Wilson, Lisa Barrington, Hadeel Al, Elisa Martinuzzi, Alexander Smith Organizations: Viva Technology, Porte de, REUTERS, Binance, Securities and Exchange Commission, SEC, Swiss, Sigma Chain, Reuters, Silicon, Internet, Futures Trading Commission, U.S . Justice, Reuters Graphics, Silvergate Bank, Merit, Sigma, Binance Labs, Thomson Locations: Porte, Paris, France, Binance, U.S, Virgin Islands, Dubai, London, Hadeel Al Sayegh

LONDON, June 5 (Reuters) - A senior Binance executive was the main operator for five bank accounts belonging to the giant cryptocurrency exchange’s purportedly independent U.S. affiliate, including an account that held American customers’ funds, bank records show. This allowed Chen and her deputies to move funds held in the bank accounts. The previously unreported bank records and messages show that Binance’s management over the U.S. business’s finances extended across its bank accounts at Silvergate and detail how this secret access was granted. Binance.US has denied that Binance ever operated its bank accounts. ‘PRIMARY ADMIN USER’The Binance.US trading platform was launched by its operating firm, BAM Trading, in mid-2019 under then Chief Executive Catherine Coley.

Persons: Guangying Chen, Changpeng Zhao, Chen, Binance, Zhao, Binance.US, Krishna Juvvadi, Christian Hertenstein, Brian Shroder, ” Hertenstein, “, Chen’s, Juvvadi, ”, Peak’s, Catherine Coley, Coley, Silvergate, James McDonald, Hertenstein, Susan Li, Li messaged, Li, Angus Berwick, Tom Wilson, Janet McBride, Michael Williams Organizations: Silvergate Bank, U.S, U.S . Securities, Exchange Commission, Reuters, BAM, U.S . Commodity Futures Trading Commission, CFTC, ” Reuters, SEC, “, Thomson Locations: U.S, Washington, American, US, Binance, Shanghai, Binance.US

June 5 (Reuters) - The world's largest crypto exchange Binance and its CEO Changpeng Zhao operated a "web of deception" that included artificially inflating its trading volumes and diverting customer assets, the U.S. Securities and Exchange Commission alleged on Monday. The agency on Monday sued Binance and Zhao for failing to restrict U.S. customers from its platform and misleading investors about its market surveillance controls, as well as for operating an unregistered securities exchange. "We allege that Zhao and Binance entities engaged in an extensive web of deception, conflicts of interest, lack of disclosure, and calculated evasion of the law,” said SEC Chair Gary Gensler said in a statement. The world's biggest crypto exchange, Binance was founded in Shanghai in 2017 by CEO Changpeng Zhao, a Canadian citizen born and raised until the age of 12 in China. Binance's global trading platform, Binance.com dominates the crypto trading landscape, last year processing trades worth about $65 billion a day with up to 70% of the market.

Persons: Zhao, Binance, ”, Gary Gensler, BNB, Changpeng Zhao, Jonathan Stempel, Hannah Lang, Tom Wilson, Nick Zieminski Organizations: U.S . Securities, Exchange Commission, Washington , D.C, SEC, Sigma, Binance, U.S . Commodity Futures Trading Commission, Justice, Reuters, Silvergate, Thomson Locations: Washington ,, Shanghai, Canadian, China, Cayman Islands, Silvergate Bank, New York, Washington, London

REUTERS/Dado Ruvic/IllustrationJune 5 (Reuters) - The U.S. Securities and Exchange Commission (SEC) on Monday accused the world's largest crypto exchange, Binance, and its founder Changpeng Zhao, of operating an "elaborate scheme to evade U.S. federal securities laws." The SEC charged Binance and Zhao with 13 offences, including operating an unregistered securities exchange and failing to restrict U.S. customers from its platform. "Any allegations that user assets on the Binance.US platform have ever been at risk are simply wrong," Binance said. Merit Peak and Sigma Chain were used to transfer tens of billions of dollars involving Binance, Binance.US and other related entities, the SEC said. Zhao instructed Binance.US to onboard Sigma Chain and Merit Peak as market makers on the Binance.US platform, the SEC said.

Persons: Dado Ruvic, Changpeng Zhao, Zhao, Binance, Binance.US, Chain’s, Angus Berwick, Michelle Price, Nick Zieminski Organizations: REUTERS, U.S . Securities, Exchange Commission, SEC, Peak's, Reuters, Silvergate Bank, Sigma, BUSINESS Zhao, BAM, Sigma Chain, U.S, Thomson Locations: U.S, Switzerland, Binance.US, Shanghai, Cayman Islands

LONDON, June 5 - A senior Binance executive was the main operator for five bank accounts belonging to the giant cryptocurrency exchange’s purportedly independent U.S. affiliate, including an account that held American customers’ funds, bank records show. This allowed Chen and her deputies to move funds held in the bank accounts. The previously unreported bank records and messages show that Binance’s management over the U.S. business’s finances extended across its bank accounts at Silvergate and detail how this secret access was granted. Binance.US has denied that Binance ever operated its bank accounts. ‘PRIMARY ADMIN USER’The Binance.US trading platform was launched by its operating firm, BAM Trading, in mid-2019 under chief executive Catherine Coley.

Persons: Guangying Chen, Changpeng Zhao, Chen, Binance, Binance.US, Krishna Juvvadi, Christian Hertenstein, Brian Shroder, ” Hertenstein, Zhao, “, Chen’s, Juvvadi, Reutersalso, Peak’s, Catherine Coley, Coley, Silvergate, James McDonald, Hertenstein, ”, Susan Li, Li messaged, Li, Angus Berwick, Tom Wilson, Janet McBride, Michael Williams Organizations: Silvergate Bank, U.S, Reuters, BAM, U.S . Commodity Futures Trading Commission, CFTC, “, Thomson Locations: U.S, Washington, American, US, Binance, Shanghai, Binance.US

☆ Bankman-Fried hints at blame-the-lawyers defense in criminal case
▼ + stars: | 2023-05-31 | by ( Alison Frankel | Thomson Reuters | Alison Frankel Has Covered High-Stakes Commercial Litigation As A Columnist For Reuters Since A Dartmouth College Graduate | ) www.reuters.com time to read: +7 min

The plaintiffs' lawyer who filed that case, Kerry Miller of Fishman Haygood, told me on Wednesday that he plans to monitor the Bankman-Fried criminal case for any Fenwick & West documents that might boost the class allegations. Companies are typically reluctant to waive privilege for fear that their lawyers’ documents might be used in other cases. That assertion seems to hint that Bankman-Fried will claim that he can personally waive privilege over some Fenwick & West communications. The strongest defense case, Sandick said, would probably feature testimony from a Fenwick & West witness to bolster testimony from Bankman-Fried about his reliance on advice from FTX lawyers. But contradictory testimony from a law firm witness could undermine Bankman-Fried’s advice-of-counsel defense.

Persons: Sam Bankman, Gresser, Fenwick, Fried, West, FTX, “, ”, Bankman, District Judge Lewis Kaplan, Kaplan, Kerry Miller, Fishman Haygood, Cohen, Sullivan, Cromwell, Harry Sandick, Patterson Belknap Webb, Tyler, ” Sandick, Sandick, ‘, ’ ”, Alison Frankel Organizations: Cohen, Fenwick & West, Alameda Research, Silvergate Bank, West, U.S, Prosecutors, Alameda, District, District Judge Lewis Kaplan of, Fenwick &, Manhattan U.S, Companies, Defense, Thomson, Reuters Locations: Fenwick, FTX, Alameda, Manhattan, California, District Judge Lewis Kaplan of Manhattan

☆ Bitcoin's 72% rally to start 2023 helps push Michael Saylor's MicroStrategy to its first profitable quarter in over 2 years
▼ + stars: | 2023-05-02 | by ( Phil Rosen | ) www.businessinsider.com time to read: +2 min

Michael Saylor's MicroStrategy posted its first profit in nine quarters to start 2023. The largest holder of bitcoin added 7,500 tokens in the quarter as it rallied over 70%. MicroStrategy added 7,500 bitcoin tokens in the first quarter, bringing its total to 140,000 tokens. But with the token's rally this year, MicroStrategy reported an impairment loss of $18.9 million for the quarter, down from the prior quarter's $197.6 million impairment. And after tapping a tax benefit of $453.4 million, MicroStrategy posted net income of $461 million in the first quarter, reversing from a net loss of $249.7 million in the fourth quarter.

☆ Key Fed meeting and jobs data are ahead
▼ + stars: | 2023-04-30 | by ( Krystal Hur | ) edition.cnn.com time to read: +5 min

In the spotlight are the Federal Reserve’s May meeting and the April jobs report. Federal Reserve Chairman Jerome Powell will likely face questions about credit conditions, in addition to the central bank’s inflation strategy. What’s at stake with the April jobs report: Economists expect the Bureau of Labor Statistics’ April jobs print to show slower employment growth last month and a rising unemployment rate. Wednesday: Federal Reserve interest rate decision, Chairman Jerome Powell’s press conference and April ADP private payroll report. Friday: April jobs report and March consumer credit.

☆ Signature Bank failed because of ‘poor management,’ FDIC report finds
▼ + stars: | 2023-04-28 | by ( Elisabeth Buchwald | ) edition.cnn.com time to read: +2 min

New York CNN —The collapse of Signature Bank was due to “poor management,” according to a report from the Federal Deposit Insurance Corporation released Friday. Bank management “did not always heed FDIC examiner concerns, and was not always responsive or timely in addressing FDIC supervisory recommendations,” the report said. Contagion effects from Silicon Valley Bank’s failure and Silvergate Bank’s self-liquidation, which occurred just days before Signature Bank was forced to close, helped ignite the run on deposits, the FDIC report stated. In particular, bank management did not fully understand the risks associated with accepting crypto deposits, which comprised more than 20% of its total deposits, the FDIC report said. The FDIC led the investigation into Signature Bank, a New York state-charted bank, since it was the primary regulator.

☆ Western Alliance soars 20% after it says deposits stabilized a month after bank turmoil rocked markets
▼ + stars: | 2023-04-19 | by ( Morgan Chittum | ) www.businessinsider.com time to read: +2 min

Western Alliance stock surged as much as 20% on Wednesday. The regional lender indicated that its deposit levels have stabilized since last month's banking turmoil. "While we experienced elevated net deposit outflows immediately following the closure of other banks, deposit balances quickly stabilized," Western Alliance CEO Kenneth Vecchione said in a statement. Panic rippled through financial markets throughout the month, sending shares of regional banks plunging before the sector stabilized after interventions from government authorities and larger banks. Western Alliance shares are still down 33% year-to-date after the latest rally.

☆ Analysis: Heroes or villains: Short sellers' role in the U.S. bank crisis
▼ + stars: | 2023-04-09 | by ( Lawrence Delevingne | ) www.reuters.com time to read: +7 min

How much short sellers contributed to the downward spiral reprises the debate about whether so-called shorts are market watchdogs or opportunistic investors who profit from others’ misery. In the case of the banking crisis, a review of data and interviews with short sellers and their critics show, the answer may be both. Some high profile short sellers were later celebrated as making prophetic calls about the U.S. housing market. Even so, interviews and public postings show at least some short sellers had placed bets against regional banks well before the crisis hit. SHORT POSITIONSSuch early short sellers, however, were in the small minority.

☆ Michael Saylor's MicroStrategy snaps up another 6,455 bitcoin as token rallies, bringing its total holdings to $3.88 billion
▼ + stars: | 2023-03-27 | by ( Phil Rosen | ) www.businessinsider.com time to read: +2 min

MicroStrategy bought 6,455 bitcoins for about $150 million in the last five weeks, an SEC filing showed. MicroStrategy also paid off the remaining principal on a $205 million loan from the failed Silvergate Bank. All together, those holdings are worth about $3.88 billion, at the current bitcoin price of about $27,900. The total MicroStrategy paid was $161 million. "MicroStrategy repaid its $205M Silvergate loan at a 22% discount," Saylor tweeted on Monday.

☆ Bank runs have the crypto industry on high alert. 3 experts explain why the latest batch is especially worrisome — and what comes next.
▼ + stars: | 2023-03-26 | by ( Laila Maidan | ) www.businessinsider.com time to read: +10 min

Only a decade ago, bank runs happened at a much slower pace. The era of digital bank runsOne thing the past few weeks has made clear is that bank runs now unfold differently, especially for smaller banks that service specialized sectors. "Bank runs are evolving into a different and much more dangerous beast because they happen faster," Baker said. By comparison, on March 9, SVB lost $42 billion in a day — and it was a smaller bank, Baker added. Long said she warned regulators again after FTX collapsed that banks servicing the crypto sector face the danger of bank runs.

☆ Bitcoin’s market dominance is climbing. Here’s what that says about interest rate expectations
▼ + stars: | 2023-03-23 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +3 min

Bitcoin's market dominance has been climbing in March and is now up to levels not seen since June. Investors use it to determine which parts of the crypto market are outperforming or underperforming relative to their peers. When bitcoin dominance climbs, it implies that bitcoin is doing well, but more specifically, it means its outperforming altcoins. Bitcoin dominance has risen steadily since March 8, the day after Silvergate Bank announced its voluntary liquidation. "That's reflecting a view that a lot of macro investors have, that we're either at or very near the bottom of this macro cycle."

☆ A retro red, blue, and white Credit Suisse ski cap is attracting ferocious bids online — and prices are now up to $200
▼ + stars: | 2023-03-21 | by ( Huileng Tan | ) www.businessinsider.com time to read: +3 min

Credit Suisse merch is popping up in online marketplaces following the 167-year-old lender's merger with UBS. Branded gold bars and bags are some of the other Credit Suisse merch available on the platforms. One listing of the Credit Suisse cap started at 80 francs on March 19. Bidding on other Credit Suisse merch — such as this tote bag and a coin bank — also attracted four and five bids, respectively. And while Credit Suisse merch may be attracting buyers, the same cannot be said for the shares of the 167-year-old lender.

☆ Coinbase halts support for Signature Bank's digital payments platform
▼ + stars: | 2023-03-20 | by ( ) www.reuters.com time to read: +1 min

[1/2] A person walks into the lobby of the Signature Bank headquarters, in New York City, U.S., March 13, 2023. REUTERS/David 'Dee' DelgadoMarch 20 (Reuters) - Cryptocurrency exchange Coinbase Global Inc (COIN.O) said on Monday it has stopped support for Signature Bank's (SBNY.O) digital payments platform Signet, more than a week after U.S. regulators took control of the bank. Coinbase's users who relied on Signet will not be able to transact outside of traditional banking hours, the exchange said. New York-based Signature was one of two major U.S. banks that collapsed earlier this month, triggering market turmoil on a scale similar to the global financial crisis 15 years ago. On Sunday, a unit of New York Community Bancorp (NYCB.N) entered into an agreement with U.S. regulators to buy deposits and loans from Signature Bank.

☆ Credit Suisse tells staff to keep working and that salary and bonus will be paid 'as previously communicated' after UBS takeover deal: reports
▼ + stars: | 2023-03-20 | by ( Huileng Tan | ) www.businessinsider.com time to read: +3 min

UBS sealed a deal to acquire Credit Suisse for $3.25 billion on Sunday after a crisis of confidence. "There are no changes to payroll arrangements," Credit Suisse wrote in a Q&A addressing concerns staff may have, per Bloomberg. Credit Suisse also assured staff they will still be paid bonuses for their work in 2023, according to the memo. This put pressure on Credit Suisse, whose outflows have already been accelerating over the past few months. Credit Suisse did not immediately respond to Insider's request for comment.

New York CNN —Global banks just suffered their worst week since 2008. Credit Suisse and First Republic: Two more banks wobbled but remained upright through the week. Meanwhile, First Republic bank received a $30 billion lifeline on Thursday from some of the largest banks in the United States. US-traded shares of Credit Suisse were down nearly 7% and First Republic shares plunged by about 33% on Friday. That doesn’t mean that banks taking money from the FHLB and participating in the Federal Reserve’s emergency Bank Term Lending Program, which lent out $12 billion to banks this week, are in big trouble.

☆ Everything you need to know to catch up on Silicon Valley Bank, Credit Suisse, and the trouble rattling the financial world
▼ + stars: | 2023-03-18 | by ( Phil Rosen | ) www.businessinsider.com time to read: +4 min

Silicon Valley Bank and Credit Suisse have stolen most of the headlines, but between others like First Republic Bank, Signature Bank, and Silvergate Bank, there's plenty to digest. People walk by the New York headquarters of Credit Suisse on March 15, 2023 in New York City. The scandal-hit lender has been feeling the pain since Silicon Valley Bank sparked the bank crisis. Venture capitalists have never been more divided, with accusations flying over who killed their beloved Silicon Valley Bank. Bank of America strategists laid out 23 names that still offer upside despite the drag of SVB and Credit Suisse.

☆ Bitcoin is up 60% so far this year as investors rediscover appeal as alternative banking system
▼ + stars: | 2023-03-18 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +4 min

Cryptocurrencies stood out this week as bank shares tumbled and the global liquidity crisis rocked the stock market. Bitcoin versus the banks The price of bitcoin twice rose above the key $25,200 level to more than $26,000, according to Coin Metrics. BTC.CM= 1Y mountain Bitcoin, 1-year Bitcoin's outperformance amid a crisis in the traditional banking system had some wondering if the price rallied on a potential narrative shift. Though bitcoin was initially designed to be digital cash and an alternative financial system, it spent much of last year trading like a speculative asset. "In practice, bitcoin isn't isolated from the traditional banking system.

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