Regulators reportedly want to prohibit new owners of failed U.S. banks from offering crypto services.
The United States Federal Deposit Insurance Corporation has reportedly asked potential rescuers of some failed U.S. banks not to support any crypto services.
The FDIC regulators have asked banks interested in acquiring failed U.S. lenders like Silicon Valley Bank and Signature Bank to submit bids by March 17, ReutersThe authority will only accept bids from banks with an existing bank charter, prioritizing traditional lenders over private equity firms, the report notes, citing two sources familiar with the matter.
The FDIC has also required any buyer of Signature to agree to give up all cryptocurrency business at the bank.
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