Signature Bank is the next bank to be closed by Federal regulators. Regulators closed the crypto-focused bank, citing systemic risk.

The Federal Reserve has closed Signature Bank, as revealed in a press release issued on March 12. The regulators noted that they were concerned about the systemic risks posed by the crypto-focused bank. The FDIC will make all depositors of the bank whole.

The closure marks yet another bank in the United States to go down, with the closure of Silicon Valley Bank sparking fear in many countries. Regarding the decision, the authorities said that it was a bid to protect the country’s economy.

Silvergate has also decided to shut down, voluntarily liquidating its assets to fully repay all deposits. It is also discontinuing its Silvergate Exchange Network (SEN), a platform that offers secure, institutional-grade access to capital through U.S. dollar loans collateralized by bitcoin.

(By Rahul Nambiampurath)