With the largest crypto-supportive banks in the U.S. crumbling at the seams, industry firms appear to be retreating to Switzerland for a financial lifeline.

Circle suffered a significant blow due to the decline of SVB. Other stablecoins such as TUSD and DAI saw significant supply growth during the same period.

Senator Bernie Sanders said he plans to introduce a measure that would prevent big-bank executives from serving on the boards of the regional Federal Reserve banks that oversee them. 

Federal Reserve officials face their biggest challenge in months as they weigh whether to keep raising interest rates this week to cool inflation, or take a pause amid the market turmoil fueled by recent bank failures.

Stripe secures $6.5 billion in Series I at a $50B valuation; Coinbase likely to launch global crypto trading platform; Euler Finance hacked for over $195M in a flash loan attack; crypto assets to become a separate category in the UK tax forms.

On Saturday, the number of traders was the lowest (12,000) since November 2021, resulting in the lowest single-day trade count in 2023 (33,112).

Billionaire David Tepper has bought bonds of SVB Financial Group in a bet that the debt value will rise as parts of the group are auctioned off, the Financial Times reported Friday, citing unidentified people brief on the matter.

While SVB’s collapse came as a reminder of the fragility of the traditional financial system, a recent analysis by economists showed that a large number of banks are just uninsured deposit withdrawals away from a devastating collapse. It read:

Deposits at US lenders continued to slide in the week before three bank failures triggered a bout of global financial turmoil.

It will take three to six months for the startup world to return to business as usual after the failure of Silicon Valley Bank, the billionaire venture capitalist Vinod Khosla predicts.