Metropolitan Commercial Bank Nears Full Out Of The Crypto Market Chaos
Key Points:
- Metropolitan Commercial Bank is on the verge of abandoning the crypto sector entirely.
- The bank indicated that its departure from the crypto industry is largely complete and that its core deposits, excluding crypto customers, were $4.9 billion.
Metropolitan Commercial Bank is close to exiting completely from the cryptocurrency market, with only $278.5 million in crypto-related deposits left, according to a filing with the Securities and Exchange Commission (SEC) from April 18.
The bank stated that its exit from the crypto sector is nearly finished, while its total core deposits, excluding crypto clients, stood at $4.9 billion as of March 31.
The New York-based bank’s parent company, Metropolitan Bank Holding (MBH), announced in January that it was terminating crypto-related services after recent developments in the industry and regulatory pressure.
The bank is referring to the ongoing fallout from the collapse of crypto exchange FTX late last year and concerns that any financial firms servicing the industry will be subject to sterner regulatory oversight in the future as a result.
The spectacular collapse of Silvergate Bank, Silicon Valley Bank, and Signature Bank has made U.S. banks increasingly cautious about serving the crypto industry.
Metropolitan Commercial Bank was 9th in the 2022 national rankings of the top 50 best-performing large community banks, based on financials for the year ending December 31, 2022. S&P Global Market Intelligence ranks institutions based on returns, growth and efficiency but places a premium on the strength and risk profile of balance sheets.
Metropolitan Bank served four crypto clients, which accounted for around 1.5% of its total revenue, or around $1 million, and 6% of its total deposits, which amounted to $342 million, according to the firm’s Q3 2022 results. Earlier this week, Metropolitan Bank announced diluted profits per share of $2.25 on total revenue of around $65.5 million in the first quarter of the year, both of which were above analyst earnings projections.
Meanwhile, domestic banks like BNY Mellon continue to service crypto clients but are adopting a more cautious approach when onboarding new digital asset-exposed clients.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu
Harold
Coincu News
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Metropolitan Commercial Bank Nears Full Out Of The Crypto Market Chaos
Key Points:
- Metropolitan Commercial Bank is on the verge of abandoning the crypto sector entirely.
- The bank indicated that its departure from the crypto industry is largely complete and that its core deposits, excluding crypto customers, were $4.9 billion.
Metropolitan Commercial Bank is close to exiting completely from the cryptocurrency market, with only $278.5 million in crypto-related deposits left, according to a filing with the Securities and Exchange Commission (SEC) from April 18.
The bank stated that its exit from the crypto sector is nearly finished, while its total core deposits, excluding crypto clients, stood at $4.9 billion as of March 31.
The New York-based bank’s parent company, Metropolitan Bank Holding (MBH), announced in January that it was terminating crypto-related services after recent developments in the industry and regulatory pressure.
The bank is referring to the ongoing fallout from the collapse of crypto exchange FTX late last year and concerns that any financial firms servicing the industry will be subject to sterner regulatory oversight in the future as a result.
The spectacular collapse of Silvergate Bank, Silicon Valley Bank, and Signature Bank has made U.S. banks increasingly cautious about serving the crypto industry.
Metropolitan Commercial Bank was 9th in the 2022 national rankings of the top 50 best-performing large community banks, based on financials for the year ending December 31, 2022. S&P Global Market Intelligence ranks institutions based on returns, growth and efficiency but places a premium on the strength and risk profile of balance sheets.
Metropolitan Bank served four crypto clients, which accounted for around 1.5% of its total revenue, or around $1 million, and 6% of its total deposits, which amounted to $342 million, according to the firm’s Q3 2022 results. Earlier this week, Metropolitan Bank announced diluted profits per share of $2.25 on total revenue of around $65.5 million in the first quarter of the year, both of which were above analyst earnings projections.
Meanwhile, domestic banks like BNY Mellon continue to service crypto clients but are adopting a more cautious approach when onboarding new digital asset-exposed clients.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu
Harold
Coincu News
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