FDIC

Advocacy groups want the Federal Deposit Insurance Corp. to downgrade the Community Reinvestment Act rating of FinWise Bank, which partners with nonbanks to offer high-cost consumer loans. The FDIC downgraded the rating of a second Utah-based bank following a similar campaign by consumer organizations.

The Arkansas congressman, a leading Republican on the House Financial Services Committee, said while he doesn't believe blanket expanding deposit insurance is warranted, different premium structures for covering deposits would be "worthwhile."

The White House and regulators have sought to ease fears about the banking system, but business depositors as well as regional bank investors remain jittery. Speculation has accelerated about potential buyers of the failed Silicon Valley and Signature banks, the health of certain other regionals and how deposit costs will change.

In an effort to save the troubled crypto-friendly bank, one possible option involves lining up crypto-industry investors to help Silvergate shore up its liquidity.

Banks reported record growth in net interest margins in 2022, but net income still fell, and the industry "continues to face significant downside risks" from inflation and other factors, Martin Gruenberg says.

The Federal Reserve, Federal Deposit Insurance Corp. and Office of the Comptroller of the Currency have issued statements on crypto risks this year. Industry participants warn about a chilling effect.

The Federal Deposit Insurance Corp.'s Inspector General says the agency needs to mitigate digital asset risks, and notes that dozens of its affiliate banks are looking into — or are actively engaged with — crypto assets.

The Federal Deposit Insurance Corp. told a group of cryptocurrency platforms to stop making false claims that their crypto assets are insured.

Revisions in 2020 to the way regulators classify "hot" deposits struck some observers as risky, at least in theory. Silvergate seems to have made that risk less theoretical.

Coinbase, Paxos, MetaBank and PayPal all claim the primary purpose exception, which allows companies to place deposits at banks without limits applied to brokered deposits.