Cryptocurrencies

‘Everybody’s in Limbo’: Bank Chaos Leaves Crypto With Dwindling Options

  • Day-to-day mechanics in flux with closure of key bank partners
  • Startups consider community credit union, crypto credit cards
Banking Breakdown: Credit Suisse
Lock
This article is for subscribers only.

Crypto startups are left searching for alternative banking solutions after the collapse of three US banks with ties to the digital-asset industry and its backers.

Years of regulatory scrutiny have effectively blocked most crypto firms from traditional banks. So the failure of Silicon Valley Bank has thrown many groups’ day-to-day mechanics like payroll and bill processing into flux, while the shuttering of Silvergate Capital Corp. and Signature Bank has closed vital on-off ramps between crypto and traditional currencies.