Ebrima Santos Sanneh

The FDIC's deposit insurance review following a string of bank failures said the most balanced approach to modifying deposit insurance would be to provide higher insurance coverage to business accounts, which would reduce systemic risk and promote market discipline.

The Federal Deposit Insurance Corp. said in a report released Friday that Signature's rapid, unrestrained growth and inadequate risk management practices outpaced supervisors' ratings and responses, even though the issues were known to the agency.

In a highly anticipated report on the failure of Silicon Valley Bank, Federal Reserve Vice Chair for Supervision Michael Barr says the bank's own mismanagement and an acquiescent supervisory structure created the conditions for the bank to fail.

The Treasury Department's Financial Crimes Enforcement Network said it is looking into the feasibility of verifying entries in a forthcoming beneficial ownership database, but may be limited by legal and cost considerations.

The agencies warned banks to fix fee programs before they result in penalties.

The banking industry and consumer advocates praised the Financial Stability Oversight Council's move to reinvigorate its authority to regulate nonbanks. But that effort is going to take time and is guaranteed to face political headwinds.

The largest lobbying group in the United States, the U.S. Chamber of Commerce, said that calls for stronger regulation in the wake of March's bank failures were premature and baseless. The group also defended a 2018 deregulatory law and urged lawmakers to pump the brakes on new regulation until policymakers carefully review all facts.

A House hearing showcased a bipartisan consensus on the need to regulate stablecoins, but the parties disagree down to the definitions, making the legislation's future uncertain.

The Federal Deposit Insurance Corp. said it will propose a special assessment to cover losses from Silicon Valley Bank and Signature Bank in May, and noted that bank deposit outflows are largely uninsured.

Treasury Secretary Janet Yellen continued to hold her administration's stance of steadfast support for Ukraine, but the secretary indicated responsible stewardship of U.S. aid and enduring cooperation from western allies would be essential to continuing robust support.

Travis Hill, the Republican vice chair of the Federal Deposit Insurance Corp., said poor interest rate risk management caused last month's bank failures and denounced calls to reinstate tighter supervisory standards on midsized regional banks.

The six financial regulators that need to finish Dodd-Frank section 956, the executive compensation rule, would be better served legally by finishing a 2016 proposal rather than restarting the process, a group of progressive financial policy advocates wrote to regulators.

The world's largest asset manager, often known for its close partnerships with government agencies, will market SVB and Signature Banks' former assets.

As FDIC seeks a buyer for the remaining assets left after its sale of most of Signature Bank to Flagstar Bank, the agency has announced $60 billion in deposits — including some New York City commercial real-estate loans — will be on the market by this summer.

Acting Comptroller of the Currency Michael Hsu urged the banking industry to not let safety and soundness concerns overshadow fairness in banking, which he said is an equally crucial aspect of market stability.

The Federal Deposit Insurance Corp. told neobank Utoppia to cease using the FDIC name, in Spanish and English communications.

Silicon Valley Bank and its customers favored the simplicity and convenience of eschewing deposit insurance coverage despite the risks. Some experts say regulators' decision to make depositors whole might be sending the industry the wrong message.

The Office of Financial Research — a Treasury agency tasked with examining sources of systemic financial risk — published a report that found that full integration of a central bank digital currency could hurt banking-sector stability but offers significant benefits for consumers.

On Monday, the top banking Republicans in both chambers laid blame for Silicon Valley Bank and Signature Bank's failures on the Federal Deposit Insurance Corp. and Federal Reserve, and they asked the agencies for a full autopsy of what went wrong.

The high-stakes acquisitions of 2008 and subsequent legal liabilities have sapped enthusiasm from many prospective buyers for Silicon Valley and Signature Banks. The Federal Deposit Insurance Corp. may end up having to sell assets piece by piece.