US Regulators Closed Republic First Bank
Marking the nations first banking failure of 2024, Philadelphia based Republic First Bank have been closed by the United States regulators.
The development has started a debate among the crypto community amid Bitcoin, Ethereum and multiple altcoins slightly faltering after the news.
Republic First was placed into receivership by the Federal Deposit Insurance Corporation (FDIC) following its seizure by the Pennsylvania Department of Banking and Securities on April 26.
The agency will acquire all assets of Republic Bank and take on nearly all deposits, as per a statement published by the DFIC.
As of January 31, Republic First had around $6 billion in total assets and $4 billion in total deposits.
Furthermore, on April 27, under the umbrella of Fulton Bank the branches of the bank accross Pennsylvania, New York and New Jersey will reopen.
Back in 2023, rumors of possible banking failures saw slight spikes in the price of Bitcoin shortly after. However, Bitcoin’s price has declined slightly following the news of first republic.
The news comes after a challenging year for the banking sector, with five bank failures reported in the United States in 2023, per FDIC data.
After early attempts at recovery failed, JPMorgan purchased First Republic Bank in May 2023. First Republic Bank is a distinct corporation with no affiliation to Republic First.
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Posted Using InLeo Alpha
Posted Using InLeo Alpha