Art Lover | Open Finance Attorney | Pilgrim |
Banner: Maggie Walker, St. Luke Penny Savings Bank https://t.co/RL3fEhArsj…
Jan 17, 2023 • 6 tweets • 2 min read
Signature Bank President and Chief Executive Officer Joseph J. DePaolo:
$SBNY committed to the [digital assets] business, it is not going away!
High cost digital asset deposit outflows expected to continue Q1 & Q2, maybe stability in Q3.
{where is the industry going to go?}
$SBNY will not do anything long-term with remaining digital asset deposits (such as lend out for income) due to absence of regulatory clarity.
BUT they believe somewhere in the next few years the banking system will not conduct transactions the way it does today.
{we know this!}
Jan 6, 2023 • 10 tweets • 5 min read
Silvergate Downgrade not good, but why... exactly? 🤔
Downgrades matter b/c can trigger margin calls and termination in a variety of a firm's financial contracts.
Institutional trading agreements with cross-default terms are a regular part of on-going business management.
The transactions between the parties are collateralized based on pre-agreed terms that apply to the entire relationship in what's called a "Master Agreement".
Institutional trading agreements with cross-default terms are a regular part of on-going business management.