Crypto Lenders Caused Crypto Contagion Last Year. How Is the Industry Rebuilding?
After bankruptcies tore apart the crypto lending, the industry is attempting to rebuild in a sustainable and accountable manner. Original Source
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Contagion
Block CRV Borrowing on Aave to Stop Further Contagion, Gauntlet Proposes
“Gauntlet has been looking into the risk profile of 0x7a16ff8270133f063aab6c9977183d9e72835428. This account borrows roughly $54m of USDT against $158m of CRV, as of 2023/08/01,” the proposal read. “We recommend setting CRV LTV to 0 to help impede additional borrowing against existing CRV collateral due to the recent decrease in CRV
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Crypto lender Delio to resume withdrawals after counterparty contagion
According to a recent report by local news outlet Decenter, South Korean crypto lending platform Delio will resume withdrawals, albeit with no fixed schedule, after pausing them on June 14. In a meeting with investors on June 17, CEO Jung Sang-ho explained, "[Delio] will secure as much capital as possible
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Bitcoin Holds Near $29K as Investors Weigh Rate Increases, Banking Contagion
BTC traded flat after a slight dip early Thursday. Ether also traded in a narrow range. Source
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FDIC Cites Poor Management, Contagion Risk as Key Contributors to Signature Bank Failure
The Federal Deposit Insurance Corporation (FDIC) published a 63-page report outlining issues Signature faced, attributing its failure to “poor management,” saying the bank heavily relied on uninsured deposits, did not have strong liquidity risk management practices and maintained poor risk management in general. These factors were exacerbated by a bank
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Bitcoin Edges Below $28K as Investors Weigh Deutsche Bank Contagion Fears
Bitcoin (BTC), the largest cryptocurrency by market capitalization, was recently changing hands at about $27,450, down more than 2% over the past 24 hours, according to CryptoX data. BTC rose as high as about $28,300 earlier in the day and is up more than 16% in March. Source
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What is crypto contagion, and how does it affect the market?
Crypto contagion can significantly impact multiple stakeholders in the crypto market, including investors, businesses and the broader financial system. To protect themselves from the negative effects of crypto contagion, each stakeholder should take specific steps. By diversifying portfolios, investors can lower exposure to crypto contagion. This entails purchasing various
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Recent contagion was ‘TradFi to crypto’ and not vice versa — Circle policy director
Caroline Hill, the director of global policy and regulatory strategy for stablecoin issuer Circle, has placed some of the blame from the recent collapse of banks tied to crypto on traditional financial institutions rather than digital assets.Speaking at a South by Southwest (SXSW) panel on regulating cryptocurrencies in Austin, Texas
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U.S. authorities preparing ‘material action’ to curb SVB contagion
United States authorities are working on "material action" over the weekend in an attempt to limit the ripple effect across the country's banking system after the Silicon Valley Bank abruptly collapsed on March 10.According to a Reuters report citing unnamed sources, officials in the Joe Biden administration assessed the impact
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‘Fiat Is Fragile’ — Silicon Valley Bank’s Collapse Sparks Finger-Pointing and Concerns of Contagion – Bitcoin News
Silicon Valley Bank (SVB) has become the center of attention after its collapse prompted the U.S. Federal Deposit Insurance Corporation (FDIC) to shut the bank down on Friday. It was the largest U.S. bank failure since 2008, and various alleged catalysts have been pointed to. Some believe venture capitalists caused
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