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☆ BoE will struggle to keep calm and carry on hiking
▼ + stars: | 2023-03-23 | by ( ) www.reuters.com time to read: +1 min

Stung by persistently high inflation, the Bank of England extended its run of interest rate increases to 11, bringing the base rate to 4.25%. Even the Swiss National Bank lifted its benchmark rate by 50 basis points on Thursday, four days after seeing Credit Suisse (CSGN.S) collapse into UBS’s (UBSG.S) arms. The BoE expects inflation to drop below its 2% target by June next year. But with GDP set to contract in 2023 and 2024, Bailey doesn’t have that much room to add to his rate-hiking run. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

☆ Ardian mobile towers pounce would be a mouthful
▼ + stars: | 2023-03-23 | by ( ) www.reuters.com time to read: +2 min

MILAN, March 23 (Reuters Breakingviews) - Ardian’s mobile towers takeover in Italy looks a stretch. Buying the rest could cost Ardian 10 billion euros, assuming a modest 20% premium. It would also need UK telco Vodafone (VOD.L) to sell the 33% stake it indirectly controls. Mobile towers are in hot demand among private equity players because of their steady cash flow. A 20% premium may value INWIT at 17.7 billion euros, including net debt of around 4 billion euros.

☆ Pharma delivers, for others
▼ + stars: | 2023-03-23 | by ( ) www.reuters.com time to read: +2 min

The progressive lung disease, which commonly crops up in heavy smokers, is the third biggest cause of death globally. A 30% reduction in exacerbations and significant lung function improvement means the drug should spin more profit. Deloitte estimates projected returns on drug development for the biggest pharma firms were 1.2% last year. Writ large, the world might be getting too good of a bargain. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

☆ Macron is right and wrong on share buybacks
▼ + stars: | 2023-03-23 | by ( ) www.reuters.com time to read: +2 min

LONDON, March 23 (Reuters Breakingviews) - Emmanuel Macron dislikes the “cynicism” of large profitable companies engaging in massive share buyback programmes. The French president has a point that there are better ways for companies to spend their profits than to reduce their share count. Share buybacks in Europe’s largest 11 markets nearly doubled last year to 161 billion euros, according to a report by BNP Paribas (BNPP.PA), which itself is spending some 5 billion euros - or half its net profit - to acquire its own stock. And from an economic viewpoint, money spent cuddling shareholders would be better spent on investment and growth. That said, the scope for one country to regulate share buybacks in isolation – and to stop companies just paying out special dividends instead - is dubious.

☆ All’s fair in love and stablecoins
▼ + stars: | 2023-03-22 | by ( ) www.reuters.com time to read: +2 min

NEW YORK, March 22 (Reuters Breakingviews) - If a stablecoin isn’t first, it’s last, as Circle has learned this month. The company that issues USDC lost its peg to the dollar earlier this month because of worries about the $3.3 billion it held at Silicon Valley Bank. Though Circle recovered the funds from the bank, customers pulled $6 billion from it, according to Bloomberg. Circle Chief Executive Jeremy Allaire, in contrast, does regular rounds in Washington and has argued for regulation. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

☆ How to Fill Out a Form 1040
▼ + stars: | 2023-03-20 | by ( ) www.wsj.com time to read: +15 min

Form 1040 contains every figure the IRS needs to calculate your tax bill or refund. The form is identical to Form 1040, but with larger text that makes the form easier to read.) Filing status and personal informationAt the top of Form 1040, you’ll indicate your filing status and provide your basic personal information. If you make estimated tax payments throughout the year, you might want some of your overpayment applied to your estimated tax payments for the following year. Signatures on Form 8879 can be electronic or physical, and once the form is signed you can submit your return for e-filing.

☆ One country, two crypto systems: Hong Kong harbors crypto hub ambitions despite China's crackdown
▼ + stars: | 2023-03-20 | by ( Lee Ying Shan | ) www.cnbc.com time to read: +5 min

Sopa Images | Lightrocket | Getty ImagesThe crypto industry has had a rough year with digital currency markets crashing and companies collapsing across the board. Hong Kong is planning to introduce new rules in June that will require crypto trading platforms to be licensed by the Securities and Futures Commission. Bitcoin ATMs, operated by Coinhero, in Hong Kong, China, on Wednesday, Dec. 21, 2022. While Hong Kong harbors high crypto ambitions and boasts relatively lower tax policy on businesses, the city could still potentially find competition with other crypto hubs. The logo of Bitcoin cryptocurrency at a store in Hong Kong on Thursday, Feb. 10, 2022.

LONDON, March 16 (Reuters) - Crypto investors pulled around $3 billion overall from the stablecoin USDC in three days, the company behind the token said in a blog post on Thursday, as investors rushed to redeem their holdings in the wake of the collapse of Silicon Valley Bank. USDC broke its dollar peg on Saturday after Circle revealed that $3.3 billion of the coin's reserves were at SVB . The rapid outflows come after U.S. banking regulators issued a fresh warning last month that crypto-related deposits in banks could be subject to liquidity risks. In the past week, investors have pulled a net $6 billion from the coin, according to CoinGecko data. "The events of the past week have impacted the liquidity operations for USDC," Circle said.

☆ An odd benefit of the Silvergate fallout is the outlook for stablecoins has just gotten rosier
▼ + stars: | 2023-03-15 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +5 min

Stablecoins have been touted as one of the biggest beneficiaries of the end of Silvergate and Signature . The problem is, though, that stablecoin issuers still need access to a crypto bank, so the risk is now further concentrated." The legislation — the Pennsylvania Republican's second effort that year — would have required stablecoins to be fully backed by reserves. De-risked from the banking system Some stablecoins may offer an on-ramp into crypto, but they won't take the place of bank accounts . Some in crypto have been pointing out that although Silvergate and Signature were the biggest crypto banks, they weren't the only ones.

☆ Crypto founders are running out of bank options after the collapses of SVB and Signature. Here's where they're scrambling to move their money.
▼ + stars: | 2023-03-15 | by ( April Joyner | Morgan Chittum | ) www.businessinsider.com time to read: +5 min

Crypto founders face dwindling banking options after the collapses of Silvergate and Signature Bank. After back-to-back collapses of several crypto- and startup-friendly banks — Silvergate, Signature, and Silicon Valley Bank — crypto founders face a huge void. Silvergate and Signature, in particular, filled a vital role in the financial system for crypto startups, several founders told Insider. Well before the collapse of SVB and downfall of Signature, crypto founders had found banking havens outside the US in locales such as Dubai and Singapore. "It's a recurring conversation that crypto companies have that are based out of the states," she said.

☆ Why stablecoin company Circle is set to be the big winner in crypto after the collapse of Signature Bank and Silicon Valley Bank
▼ + stars: | 2023-03-14 | by ( April Joyner | ) www.businessinsider.com time to read: +5 min

The collapse of three crypto-friendly banks is a boon for stablecoin issuer Circle, investors said. Slivergate Bank, Silicon Valley Bank, and Signature all imploded in the space of a week. Circle keeps its reserves at BNY Mellon, which helped its stablecoin USDC recover after SVB's fall. Circle, the company behind the stablecoin USDC, is set to come ahead in the aftermath of the collapses of Silvergate Bank, Silicon Valley Bank, and Signature Bank, according to several investors and founders. One risk, however, is that recent bank failures prompt regulators to bar crypto companies, including Circle, from accessing the US banking system altogether.

☆ SVB crisis makes stablecoin legislation even more urgent, Circle's CEO says
▼ + stars: | 2023-03-14 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailSVB crisis makes stablecoin legislation even more urgent, Circle's CEO saysJeremy Allaire, CEO of Circle, discusses the regulatory landscape for stablecoins.

☆ Bitcoin, USDC stablecoin rally after U.S. intervenes on SVB
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: +3 min

SINGAPORE, March 13 (Reuters) - Bitcoin and other cryptocurrencies rallied on Monday after U.S. authorities announced plans to limit the fallout from the collapse of Silicon Valley Bank (SVB) and as cryptocurrency firm Circle assured investors its peg was secure. The moves came as authorities took possession of New York-based Signature Bank (SBNY.O), the second bank failure in a matter of days. Stablecoin USD Coin (USDC) recovered to $0.9917, closer to its par and up from last week's lows around $0.88. Over the weekend, USDC had lost its 1:1 dollar peg and hit a record low on Saturday on concerns over the exposure of Circle — the firm behind USDC — to Silicon Valley Bank. Circle CEO Jeremy Allaire said in a tweet its $3.3 billion USDC reserve deposit held at the collapsed Silicon Valley Bank (SIVB.O) will be fully available when U.S. banks open Monday.

☆ Circle says $3.3 bln USDC reserves to be fully available on Monday
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: +2 min

March 12 (Reuters) - Cryptocurrency firm Circle said on Sunday all its depositors with the collapsed Silicon Valley Bank (SIVB.O) and Signature Bank (SBNY.O) will be made whole and the $3.3 billion USDC reserve deposit held at Silicon Valley Bank will be fully available when banks open Monday. Circle said it did not have any Stablecoin USD Coin (USDC) cash reserves at Signature Bank and that the token remained redeemable at 1:1 U.S. dollar peg. Further, the crypto firm announced an automated USDC minting and redemption through Cross River Bank, effective Monday, and said its expanded relationships also include USDC redemptions via BNY Mellon (BK.N). "Circle's USDC operations will open for business, including with new automated settlement via our new partnership with Cross River Bank," Chief Executive Officer Jeremy Allaire said in a tweet. USDC lost its dollar peg and slumped to an all-time low on Saturday before recovering most of its losses when Circle assured investors it would honor the peg despite exposure to failed Silicon Valley Bank.

☆ Crypto just lost both of its main banks. Here's what it means for the industry going forward
▼ + stars: | 2023-03-13 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +4 min

The days before the industry had crypto-forward banks to turn to were some of the darkest for the industry. At the end of February, three major banking regulators issued a joint statement warning banks of the liquidity risks associated with banking crypto companies. "Banks and law firms are getting a clear message from regulators: distance yourselves from crypto companies," said Ric Edelman, founder of the Digital Assets Council of Financial Professionals. "But for the moment, crypto companies are increasingly finding themselves where cannabis companies were a decade ago." Employees work at a Signature Bank branch in Manhattan on March 13, 2023 in New York City.

☆ What the failures of Signature, SVB and Silvergate mean for the crypto sector
▼ + stars: | 2023-03-12 | by ( Mackenzie Sigalos | ) www.cnbc.com time to read: +4 min

In this article BTC.CM= Follow your favorite stocks CREATE FREE ACCOUNTA man entering Signature Bank in New York City on March 12, 2023. ReutersA lot of crypto's problems in the last year originated in the stablecoin sector, beginning with TerraUSD's collapse last May. Now that it is clear that SVB depositors will be made whole, Carter tells CNBC that he expects USDC to trade at par. The Silvergate Exchange Network (SEN) and Signature's Signet were real-time payment platforms that crypto customers considered core offerings. Meanwhile, Circle has already publicly said that it is shifting is assets to BNY Mellon now that Signature bank is closing.

☆ Stablecoin USDC breaks dollar peg after firm reveals it has $3.3 billion in SVB exposure
▼ + stars: | 2023-03-11 | by ( Ashley Capoot | ) www.cnbc.com time to read: +1 min

USDC is known as a stablecoin, which means the value of the virtual currency is supposed to be pegged to a reference currency. USDC is designed to trade at $1, but it fell below 87 cents on Saturday, according to data from CoinDesk. Regulators shuttered SVB Friday and seized its deposits in what has become the largest U.S. banking failure since the 2008 financial crisis. In a tweet Friday, Circle said it has $3.3 billion in remaining reserves at SVB. SVB customers withdrew a staggering $42 billion of deposits by the end of Thursday, according to a California regulatory filing.

☆ Stablecoin USDC breaks dollar peg after revealing $3.3 billion Silicon Valley Bank exposure
▼ + stars: | 2023-03-11 | by ( ) www.reuters.com time to read: +3 min

Circle has $3.3 billion of its $40 billion of USDC reserves at collapsed lender Silicon Valley Bank, the company said in a tweet on Friday. Silicon Valley Bank collapsed on Friday in the largest U.S. bank failure since the 2008 financial crisis, roiling global markets and stranding billions of dollars belonging to companies and investors. Circle said in a tweet on Friday that it and USDC "continue to operate normally" while the firm waits for clarity on what will happen to Silicon Valley Bank depositors. loadingCircle did not immediately respond to a request for comment about the dollar peg, sent outside of U.S. working hours. The chief executive of cryptocurrency exchange Binance said in a tweet on Friday it had no exposure to Silicon Valley Bank, as did Tether Chief Executive Paolo Ardoino.

☆ Crypto's go-to bank collapsed. What now?
▼ + stars: | 2023-03-09 | by ( Allison Morrow | ) edition.cnn.com time to read: +4 min

New York CNN —Yesterday, the financial world witnessed a classic run on the bank when Silvergate Capital, the go-to US lender for crypto companies, said it would wind down its operations and voluntarily liquidate. ICYMI: Silvergate was, for most of its existence, a traditional Southern California regional bank. In the same period, the global crypto industry has lost two-thirds of its value, falling from a $3 trillion market cap to $1 trillion. I’ve heard the “don’t blame crypto” argument a thousand times. And it was the same story nearly a year ago, when the Terra/Luna crash last spring wiped out billions overnight — don’t blame crypto; those were toxic algorithmic stablecoins, you can’t trust those.

☆ FTX has a massive $9.5 billion shortfall in top crypto and cash needed to repay customers, the bankrupt exchange's new bosses say
▼ + stars: | 2023-03-03 | by ( Ryan Hogg | ) www.businessinsider.com time to read: +2 min

FTX has a $9.5 billion shortfall in top crypto and cash to repay customers, bankruptcy lawyers say. Just $694 million in assets of $2.2 billion recovered are easy to cash in. FTX US also has a shortfall, with $191 million in assets versus $335 million of customer claims and $283 million of related party claims payable. In January, bankruptcy lawyers said they had recovered $5.5 billion in liquid assets from FTX. The Commodities and Futures Trading Commission (CFTC) has estimated that $8 billion of client money had been lost by the exchange.

☆ The Treasury just gave the strongest indication yet that the US will get a digital dollar, but an expert says proliferation of CBDCs poses risks to the dollar.
▼ + stars: | 2023-03-02 | by ( Phil Rosen | ) www.businessinsider.com time to read: +4 min

The US Treasury just made its strongest indication that a central bank digital currency is on the table. A US digital dollar, Liang said, would be legal tender and users could convert it one-for-one with other forms of central bank assets, like paper money or reserves. Redbord also believes the US must carefully evaluate the space, given that China is embarking on a similar digital currency program that's aimed at competing with the dollar. In her Wednesday speech, Liang differentiated between wholesale and retail digital dollars. The upside for a retail CBDC, meanwhile, comes from access, rather than technology, but could also destabilize private sector lending during times of duress, she added.

LONDON, March 1 (Reuters) - Binance's stablecoin, Binance USD, has seen around $6 billion of outflows following a U.S. regulatory crackdown on the company that issues the token, according to market tracker CoinGecko. Binance CEO Changpeng Zhao said that the regulator's decision meant the market cap of the token would decrease over time. On Wednesday, the value of all Binance USD was around $10.5 billion, down from $16.1 billion on Feb. 13, according to market tracker CoinGecko. The Financial Times reported on Wednesday that investors have pulled more than $6 billion out of the Binance-branded token in the past month, citing data from blockchain analytics firm Nansen. Analysts said the NYDFS move represented a setback in Binance's efforts to gain market share from larger stablecoins.

[1/2] A representation of the virtual cryptocurrency Bitcoin is seen in this picture illustration taken October 19, 2021. Crypto payment specialists have also seen strong volumes. Nonetheless, proponents say bitcoin offers lower transaction costs and quicker speeds than traditional cash, especially for cross-border transfers. For others, though, growing interest in CBDCs is evidence that blockchain payments tech is here to stay. Traditional finance firms looking to embrace crypto payments have also shrugged off recent market volatility.

The proposed deal may violate laws on the unregistered offer and sale of securities, the SEC said in a filing on Wednesday. It also cited news reports of U.S. investigations into the global Binance crypto exchange, of which Binance.US is a purportedly independent partner, that mean the deal could become "impossible to consummate." New York's top financial regulator and New York Attorney General Letitia James also objected to the deal in filings on Wednesday. The New York Department of Financial Services said that Voyager "illegally operated a virtual currency business within the state without a license." The U.S. Justice Department is investigating the global Binance exchange for possible money laundering and sanctions violations, Reuters reported in December.

WASHINGTON, Feb 23 (Reuters) - Top U.S. banking regulators issued a fresh warning to banks to be on guard for any liquidity risks from cryptocurrency-related clients, cautioning some of their deposits could prove volatile. The agencies noted deposits placed with banks for the benefit of crypto consumers, as well as stablecoin reserves, could be subject to rapid outflows. Regulators said the new statement was spurred by "recent events" in the crypto sector that highlighted volatility risks. But regulators expressing concerns about the stability of those reserves could cause banks to further examine their relationship with stablecoin firms. The statement noted that stablecoin reserves could see large and rapid outflows in cases of unanticipated stablecoin redemptions and turmoil in crypto markets, for example.

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