The sudden closure of New York’s Signature Bank by state regulators Sunday underscored the urgency of extraordinary US efforts to backstop the nation’s banking system and quell mounting concerns among customers about the safety of their deposits.
Federal regulators swept the lender into receivership just days after the demise of fellow crypto-friendly bank Silvergate Capital Corp. and SVB Financial Group’s Silicon Valley Bank. The announcement coincided with a slate of measures out of Washington, including the Federal Reserve’s creation of a new lending program for banks, aimed at ensuring they can meet any customer requests to withdraw money.
