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FTX Switches to Signature Bank for Domestic Wire Transfers, Moves away from Silvergate

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On March 1, according to the e-mail sent by the FTX encryption derivatives platform LedgerX to customers, the company will no longer use Silvergate to receive …

FTX Switches to Signature Bank for Domestic Wire Transfers, Moves away from Silvergate

On March 1, according to the e-mail sent by the FTX encryption derivatives platform LedgerX to customers, the company will no longer use Silvergate to receive domestic wire transfers in the United States, and has established a cooperative relationship with Signature Bank. FTX and related entities have accounts in Silvergate and Signature. Since the bankruptcy of FTX, Silvergate has faced more stringent scrutiny from legislators.

LedgerX: has established a partnership with Signature and no longer uses Silvergate to receive US wire transfers

Interpretation of the news:


FTX encryption derivatives platform LedgerX informed its customers on March 1, through an email that the company will no longer use Silvergate bank to receive domestic wire transfers in the United States. The email further revealed that the company had established a cooperative relationship with Signature Bank, which will be handling the domestic wire transfers for LedgerX.

It is not a secret that FTX and its related entities have accounts in Silvergate and Signature banks, and the latter has been selected to replace Silvergate for handling the domestic wire transfers for LedgerX as they have proven to be more secure and reliable.

The move by LedgerX comes in the wake of more stringent scrutiny being placed on Silvergate following the bankruptcy of FTX. Silvergate’s financial stability has been called into question, and it is uncertain how secure the bank is given the controversy, leading to LedgerX’s decision to move to a more stable bank.

Signature Bank has been known for its stability and reliability, and this decision by LedgerX is seen as a sign of trust in the bank to handle the company’s finances. Signature Bank’s strong reputation for security and reliability has earned it recognition, and this new relationship with LedgerX will enable them to establish a strong foothold in the cryptocurrency industry.

The move by LedgerX also signals a change in trust dynamics in the banking industry, with institutions such as Signature Bank being trusted by cryptocurrency firms to handle their finances more than traditional banking institutions. The partnership between Signature Bank and LedgerX is seen as a sign of hope for the cryptocurrency industry, as more mainstream financial institutions are becoming more accepting of decentralized finance.

In conclusion, FTX’s decision to switch from Silvergate to Signature Bank for domestic wire transfers sends a positive signal to the cryptocurrency industry, and increases the trust between the cryptocurrency and the traditional financial industries. This partnership between Signature Bank and LedgerX proves the reliability of the former in the secure handling of finances in the cryptocurrency industry, and will set a precedent for future collaborations between these two industries.

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