Fleeing Crypto Depositors Didn’t Bring Down Signature, NY Regulator Says

  • Adrienne Harris comments during Congressional hearing
  • Some digital-asset adherents point to plot to cut access
What Led to the Collapse of Signature Bank?
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Signature Bank’s collapse in March was not caused by its crypto clients, but a run by a broad base of depositors across business sectors, according to New York state’s financial regulator.

“It is a misnomer that the failure of Signature Bank was related to crypto,” said New York State Department of Financial Services Superintendent Adrienne Harris in a House Financial Services Committee hearing on stablecoins on Wednesday. Depositors including wholesale food vendors, fiduciaries, trust accounts, law firms left the bank and caused the run, she said.