Banking Crisis 2023

Chairman Scott Shay, Chief Executive Officer Joseph DePaolo and Chief Operating Officer Eric Howell accounted for about half of the total sales. The three executives also suffered losses on their shares in the bank when it collapsed.

Circle has proposed using central bank digital currencies as part of a backstop to mitigate the same sort of risk that caused its own coin to lose its peg to the U.S. dollar during the run on Silicon Valley Bank.

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.

Stripping out the 25 largest banks by U.S. assets, Federal Reserve data showed the industry gained back $5.8 billion of deposits.

Switzerland's Office of the Attorney General said Sunday it was working to gather information on "numerous aspects" linked to the takeover, without specifying further what it was looking for.

Two years ago, the parent company of Silicon Valley Bank promised $11.2 billion in community development support. Activists want First Citizens, which acquired much of the failed bank, to fulfill the commitment.

Banks have been reclassifying their losses to avoid taking steep write-downs that could be helping them stay in business.

Throughout 2022, the California bank shed interest rate swaps that some believe could have prevented its failure.

M&T Bank joins a Massachusetts fintech-focused hub; Republic Bancorp in Louisville, Kentucky, once again expands in the Cincinnati market; ChatGPT suffers a security lapse and more in this week's banking news roundup.

Shares of the firm have plunged 34% in March. The rout has wiped out $47 billion in market value from Schwab.

A case of mistaken identity is sparking a sell-off in Republic First Bancorp Inc., which is down more than 40% this month because investors have it confused with embattled First Republic Bank.

More congressional scrutiny is being directed at the San Francisco Federal Reserve bank and its role in supervising Silicon Valley Bank.

In March's roundup of American Banker's favorite stories: How rising interest rates took community banks by surprise, small banks and credit unions react to the collapse of Silicon Valley Bank, ex-Wells Fargo executive Carrie Tolstedt faces potential jail time and more.

The latest figures suggest efforts by policymakers to stem contagion following a string of bank collapses is working, though banks are still borrowing much more than is typical during periods of low stress.

The rules President Joe Biden calls for include minimizing the financial burden that replenishing the Deposit Insurance Fund would impose on community banks.

A group of Democratic lawmakers led by Sen. Elizabeth Warren, D-Mass., wrote to regulatory agencies urging them to complete capital rules, just as Treasury Secretary Janet Yellen suggested bank deregulation has gone too far.

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.

Questions about the durability of community banks' customer bases and funding costs could dominate first-quarter earnings calls following the downfalls of Silicon Valley Bank and Signature Bank.

Yellen focused on the danger of "fire sales," where panic spurs investors to dump assets at prices below their fair value. Among the targets needing attention are non-bank financial intermediaries, from money-market funds and hedge funds to digital asset providers.

Talks for setting the size and timing of the assessment are in early stages. Leaning heavily on big banks is seen as the most politically palatable solution.