Insider: US prosecutors have been investigating the cooperation between Signature Bank and cryptocurrency customers

According to reports, according to people familiar with the matter, U.S. prosecutors had been investigating the bank’s cooperation with cryptocurrency customers before regulators suddenly took over Signature Bank over the weekend. People familiar with the matter said that investigators from the Department of Justice in Washington and Manhattan are investigating whether the New York bank has taken sufficient measures to detect potential money laundering by customers, such as carefully examining the person who opened the account and monitoring transactions for signs of crime. Two people, who declined to be named, said the Securities and Exchange Commission was also investigating the matter. The head of the US SEC said at the time that if violations of federal securities laws were found, they would investigate and take enforcement action. (Bloomberg)

Interpretation of this information:

The recent takeover of Signature Bank by regulators has been linked to the bank’s cooperation with cryptocurrency customers, according to sources close to the matter. Investigators from the Department of Justice in Washington and Manhattan are reportedly looking into whether the bank has taken appropriate measures to detect potential money laundering and other criminal activity by customers. The Securities and Exchange Commission is also said to be investigating the matter. The head of the SEC has emphasized that they will take enforcement action if any violations of federal securities laws are found.