Signature Bank pursued ‘rapid, unrestrained growth’ in part by courting deposits from the volatile crypto industry, and its association with digital asset firms was a major factor in its failure, the Federal Deposit Insurance Corporation said in a review published Friday.
The bank “didn’t understand the risks of its association with the crypto industry or its vulnerability to contagion from the crypto industry that occurred in late 2022 and into 2023,” Marshall Gentry, chief risk officer at the FDIC, said at virtual press…
