Signature Bank to Shrink Its Deposits Tied to Cryptocurrencies by $8 Billion to $10 Billion

Signature Bank (SBNY) will shrink its deposits tied to cryptocurrencies by $8 billion to $10 billion. Nearly a quarter of the New York-based bank’s $103 billion in total deposits, or roughly 23.5%, came from the crypto industry as of September 2022. It is reported that Signature will reduce that amount to under 15% eventually.

Signature Bank is a crypto-friendly bank on Wall Street. FTX was one of the bank's clients, although the crypto exchange's deposits with Signature amounted to less than 0.1% of the bank's overall deposits. Still, the relationship between the two caused Signature’s shares to drop almost 20% in November.