Circle reserves trapped in Silicon Valley Bank

Cryptocurrency issuer Circle announced that $3.3 billion of its reserves are being held at the recently intervened Silicon Valley Bank

The same day that Silicon Valley Bank was intervened due to liquidity problems, the cryptocurrency issuing company Circle announced that USD 3.3 billion of its reserves are withheld in the entity.

The company confirmed the news through its account on the social network Twitter, adding that the sum corresponds to approximately USD 40,000 million.

Faced with the bankruptcy of Silicon Valley Bank, Circle finds its hands tied before any procedure and must wait for the action of the regulators to find out the mechanisms for recovering its money.

Circle’s statement on Twitter reads: “Like other customers and depositors who have trusted SVB to use their banking services, Circle joins calls for continuity of this major bank in the US economy and will continue to guidance provided by state and federal regulators.”

It will be necessary to wait as long as the US authorities and regulators estimate in this matter to learn the details related to the crypto company’s retained reserves, which amount to USD 3.3 billion.


Source: morocotacoin

(Reference image source: social networks)

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