Barney Frank, a former MP and board member of Signature Bank, made ambitious statements after the banking crisis in the past months.
Frank, who drafted an important financial law while serving in the US legislature, claimed that despite the panic, the bank had the ability to continue its activities, but New York regulators took the opposite decision:
"Due to the panic in Silicon Valley Bank, we received a large amount of withdrawal requests from our bank. Even though we stabilized after the bank rush move, especially New York state financial institutions terminated our operations."
The former American attorney thinks that New York regulators may have made this move to undermine the reputation of cryptocurrencies.
No Response From New York Authorities
After Signature Bank executive Barney Frank's statement, New York government agencies went on the defensive. New York Department of Financial Services Inspector Adrienne Harris stated at a press conference that they did not make a deliberate decision regarding Signature Bank.
Emphasizing that the financial institution in question is far from being a crypto bank, Harris commented:
"Signature Bank has a large deposit base. Therefore, it seems unlikely to describe them as a 'crypto bank'."