New York Community Bancorp subsidiary, Flagstar Bank, has agreed to purchase deposits and loans from Signature Bank, which state regulators recently shut down. The Federal Deposit Insurance Corporation (FDIC) said the deal would see Flagstar assume essentially all of Signature Bank’s deposits, some of its loan portfolios, and all 40 of its former branches. Non-crypto-related deposits held by Signature will be acquired by Flagstar Bank, whereas $4 billion of deposits related to its digital banking business will be directly provided to customers by the FDIC. The FDIC estimates the deal will cost around $2.5 billion for its Deposit Insurance Fund.
WSJ Editorial Calls the Seizure of Signature Bank a “Crypto Execution” Gives Creedence to “Operation Chokepoint” Theory
The Wall Street Editorial Board raised concerns in an opinion piece regarding regulators’ intentions to seize Signature Bank and whether the bank’s exposure to the crypto industry played a significant role. According to former Congressman Barney Frank, this move was made “to send a message to other banks not to do business with the crypto industry.” While Signature Bank did not invest in digital assets, it provided safeguard USD deposit services to crypto companies and their customers, which accounted for 20% of its deposits. The New York Department of Financial Services (NYDFS) shutdown of the Signature Bank is expected to have ripple effects in the crypto space, as other banks may now be hesitant to take on crypto companies’ deposits to avoid similar regulatory action.
Flash-Loan Attacker Returns $5.4 Million to Euler Finance, Hints at Agreement Intentions
After draining $197 million in a flash-loan attack, the Euler Finance attacker has returned 3,000 Ether ($5.4 million) to the lending DeFi protocol. Euler Finance initially offered a $19.7 million bounty to return the remaining funds. However, after the exploiter held onto the funds, it launched a $1 million reward for information leading to their arrest. The attacker’s recent on-chain Etherscan message suggested they wanted to reach an agreement, stating they wanted “to keep this easy on all those affected and have no intention of keeping what is not theirs.”
Golf Goes Decentralized? LinksDAO To Purchase Spey Bay Golf Club in Scotland
LinksDAO, a decentralized autonomous organization (DAO) for golf enthusiasts, is in the process of purchasing Spey Bay Golf Club in Scotland. LinksDAO has officially signed an exclusivity agreement with Spey Bay’s owner and expects the property to be under its ownership in the next few weeks, contingent on due diligence. The deal is expected to be financed via an equity funding round and the DAO’s $10.5 million profits from their non-fungible token (NFT) project that sold out last year. This would be LinksDAO’s first property purchase if it goes through.