Crypto Surges Amidst US Bank Collapse and Bitcoin Breakout.
The closure of crypto-friendly banks like SVB and Signature Bank by regulatory institutions in the US has raised concerns about whether regulators are targeting the cryptocurrency industry. These banks served major crypto firms like Paxos Trust, Celsius Network, and Circle, which were directly affected by the closures. The cryptocurrency markets were also impacted, with USDC temporarily losing its peg to the US dollar. While some commentators suggest mounting pressure on banks to stop serving crypto-related businesses, a spokesperson from the FDIC refuted claims that the future sale of Signature Bank would require divestment of crypto activities.
