According to the U.S. Federal Deposit Insurance Corporation (FDIC), cryptobank Signature Bank suffered primarily due to poor corporate governance, as well as the liquidation of Silvergate Bank and Silicon Valley Bank.
However, the regulator said the bank’s collapse was also influenced by its close ties to digital assets.
“The bank funded its rapid growth by over-reliance on uninsured deposits without implementing basic liquidity risk management and controls. In addition, Signature Bank did not perceive the risks from its crypto-industry deposit operations and failed to recognize its vulnerability to contagion from the crypto-industry turmoil that occurred in late 2022 and 2023,” the regulator stated.
One of China’s largest tech companies, AntChain, has launched an open-source cross-chain protocol called AntChain Bridge, which will interoperate with Ethereum-compatible chains.
AntChain is part of the Ant Group, which is owned by conglomerate Alibaba and operates the largest payment service in China, Alipay.
The company also announced the launch of the AntChain OpenLab research initiative, which will focus on developments in blockchain privacy.
In addition, the company co-founded the Web3 Openchain Alliance, which was created to develop software compatible with Ethereum.
The tire manufacturer and creator of the most influential of Michelin’s restaurant ratings has launched its own Web3 community called the Michelin 3xplorer Club.
As part of the community, Michelin will release an NFT collection on the Ethereum blockchain consisting of 5,000 tokens on June 15.
The NFTs are a membership digital card that will give users privileged access to various events from Michelin.
Some community members will also be able to participate in the inaugural Michelin Gastronomic Guide presentation.
Binance Chief Business Officer Ibo Ling said that as of the first quarter of 2023, the Binance Labs fund holds $9 billion in assets.
In August of the previous year, the fund was valued at $7.5 billion.
To date, Binance Labs has invested in more than 200 projects from more than 25 countries around the world.
Ling said the return on investment is more than 10 times the amount invested.
“We buy and hold; that’s been the strategy of the last few years,” added Ling.
The Federal Deposit Insurance Corporation (FDIC) has initiated enforcement proceedings regarding the “unsafe or insolvent banking practices” of cryptocurrency-friendly bank Cross River.
To date, Cross River has partnered with Coinbase and Circle.
In its order, the FDIC urged the bank’s board to strengthen its oversight and take “corrective action” to eliminate any unsafe practices and prevent future violations. The bank is also asked to review its information systems, identify new credit products and provide a list of third parties that offer them.
Cross River is also required to make written progress reports on the order.
Cross River Bank CEO Gilles Gade acknowledged that his institution has been subject to regulatory scrutiny since the collapse of Silicon Valley Bank.
Mastercard has partnered with Aptos Labs, Ava Labs, Polygon and Solana Foundation to work on a new Crypto Credential standard.
Mastercard Crypto Credential “will establish a set of common standards and infrastructure that will help create trusted interactions between consumers and businesses that use blockchain.”
“With Mastercard Crypto Credential, we can ensure that those interested in interacting with Web3 meet certain standards for the types of activities they would like to engage in. Mastercard Crypto Credential will not only define the standards and levels of verification, but also provide the necessary technology,” the company said.
The U.S. House Committee on Financial Services and the House Committee on Agriculture will unveil regulations for cryptocurrencies in “two months.”
Patrick McHenry, head of the Finance Committee, said the legislation could be signed into law by President Joe Biden as early as the next 12 months.
Senator Cynthia Lamis added that the law for digital assets is a bipartisan issue that needs to be resolved before the 2024 elections.
“There are several countries ahead of us. We’re way behind,” she concluded.
According to PayPal, Venmo customers will be able to transfer cryptocurrencies in the app and move them to external wallets and exchanges as early as May.
External transfers will be subject to network fees.
Raj Dhamodharan, head of cryptocurrency at Mastercard, said the company will be expanding its partnerships program for cryptocurrency issuance.
“We have dozens of partners around the world that offer cryptocurrencies and the number is growing. Providing access to cryptocurrency in a secure way is also part of our value proposition, we continue to do so,” he added.
Mastercard is now already partnering with crypto exchanges Binance, Nexo and Gemini.
Cryptocurrency exchange OKX has integrated ZK-Starks into its reserve confirmation system (PoR).
The company also added 18 assets to the system: USDC, XRP, DOGE, SOL, OKB, APT, DASH, DOT, ELF, EOS, ETC, FIL, LINK, OKT, PEOPLE, TON, TRX and UNI.
OKX’s PoR originally supported only USDT, ETH and BTC.