Coinbase, Celsius and Paxos disclose funds in Signature Bank

Mar 12. 2023

By Jesse Coghlan

The crypto-friendly Signature Bank was a key partner for many crypto firms, some which have been voluntarily disclosing their exposure to the recently closed firm.

Crypto exchange Coinbase, crypto lender Celsius and stablecoin issuer Paxos are among the crypto firms with funds reportedly tied up with the now-shuttered Signature Bank. 

The crypto-friendly Signature Bank was shut down by New York regulators on Mar. 12 in conjunction with the United States Federal Deposit Insurance Corporation (FDIC) to “protect the U.S. economy” as they claimed the bank posed a “systemic risk.”

Crypto exchange Coinbase tweeted on Mar. 12 that it had around $240 million in corporate funds at Signature that it expected would be fully recovered.

Stablecoin issuer and crypto firm Paxos also came forward, tweeting it had $250 million held at the bank but added it held private insurance that covers the amount not covered by the standard FDIC insurance of $250,000 per depositor.

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