• Tech News
    • Games
    • Pc & Laptop
    • Mobile Tech
    • Ar & Vr
    • Security
  • Startup
    • Fintech
  • Reviews
  • How To
What's Hot

Elementor #32036

January 24, 2025

The Redmi Note 13 is a bigger downgrade compared to the 5G model than you might think

April 18, 2024

Xiaomi Redmi Watch 4 is a budget smartwatch with a premium look and feel

April 16, 2024
Facebook Twitter Instagram
  • Contact
  • Privacy Policy
  • Terms & Conditions
Facebook Twitter Instagram Pinterest VKontakte
Behind The ScreenBehind The Screen
  • Tech News
    1. Games
    2. Pc & Laptop
    3. Mobile Tech
    4. Ar & Vr
    5. Security
    6. View All

    Bring Elden Ring to the table with the upcoming board game adaptation

    September 19, 2022

    ONI: Road to be the Mightiest Oni reveals its opening movie

    September 19, 2022

    GTA 6 images and footage allegedly leak

    September 19, 2022

    Wild west adventure Card Cowboy turns cards into weird and silly stories

    September 18, 2022

    7 Reasons Why You Should Study PHP Programming Language

    October 19, 2022

    Logitech MX Master 3S and MX Keys Combo for Business Gen 2 Review

    October 9, 2022

    Lenovo ThinkPad X1 Carbon Gen10 Review

    September 18, 2022

    Lenovo IdeaPad 5i Chromebook, 16-inch+120Hz

    September 3, 2022

    It’s 2023 and Spotify Still Can’t Say When AirPlay 2 Support Will Arrive

    April 4, 2023

    YouTube adds very convenient iPhone homescreen widgets

    October 15, 2022

    Google finishes iOS 16 Lock Screen widgets rollout w/ Maps

    October 14, 2022

    Is Apple actually turning iMessage into AIM or is this sketchy redesign rumor for laughs?

    October 14, 2022

    MeetKai launches AI-powered metaverse, starting with a billboard in Times Square

    August 10, 2022

    The DeanBeat: RP1 simulates putting 4,000 people together in a single metaverse plaza

    August 10, 2022

    Improving the customer experience with virtual and augmented reality

    August 10, 2022

    Why the metaverse won’t fall to Clubhouse’s fate

    August 10, 2022

    How Apple privacy changes have forced social media marketing to evolve

    October 16, 2022

    Microsoft Patch Tuesday October Fixed 85 Vulnerabilities – Latest Hacking News

    October 16, 2022

    Decentralization and KYC compliance: Critical concepts in sovereign policy

    October 15, 2022

    What Thoma Bravo’s latest acquisition reveals about identity management

    October 14, 2022

    What is a Service Robot? The vision of an intelligent service application is possible.

    November 7, 2022

    Tom Brady just chucked another Microsoft Surface tablet

    September 18, 2022

    The best AIO coolers for your PC in 2022

    September 18, 2022

    YC’s Michael Seibel clarifies some misconceptions about the accelerator • DailyTech

    September 18, 2022
  • Startup
    • Fintech
  • Reviews
  • How To
Behind The ScreenBehind The Screen
Home»Startup»Moonstone Bank, the Washington state bank with ties to FTX, will wind down crypto operations – Startup
Startup

Moonstone Bank, the Washington state bank with ties to FTX, will wind down crypto operations – Startup

January 22, 2023No Comments3 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Bank downplays ties to FTX sister company in latest fallout from crypto exchange failure – GeekWire
Share
Facebook Twitter LinkedIn Pinterest Email
(Bigstock Image)

Moonstone Bank, the digital lender with ties to FTX, announced this week it will wind down plans to offer banking services for industries such as crypto and cannabis.

The move is a sudden pivot from the company’s original ambitions to turn the centuries-old Farmington State Bank, a tiny lender near the Washington-Idaho border, into a tech-focused financial company.

“The change in strategy reflects the impact of recent events in the crypto assets industry and the resultant changing regulatory environment relating to crypto asset businesses,” Moonstone said in a press release.

After ending its crypto and cannabis services, Moonstone will change its name back to Farmington State Bank, returning to its roots as a “community bank,” according to the release.

Farmington has its origins in the tiny town of Farmington, Wash. The lender, founded in 1887, previously provided agriculture-focused loans.

It was acquired in 2020 by FBH Corporation, owned by Jean Chalopin, also the chairman of Bahamas-based Deltec Bank. Deltec’s most well-known client is crypto company Tether.

RELATED: Bank downplays ties to FTX sister company in latest fallout from crypto exchange failure

The New York Times reported Nov. 23 that FBH, the parent company of Farmington State Bank, received $11.5 million in venture capital funding in March from Alameda Research, the trading firm whose financial struggles have been cited as a key factor in FTX’s demise. The swift collapse of FTX in November sent a contagion through the crypto industry.

By acquiring Farmington, Moonstone received a banking charter, a business license required for U.S. financial institutions handling deposits and offering other bank-like services. Moonstone previously described itself as a “chartered digital bank.”

See also  How To Discover The Right Timing For Your Innovative Idea

Banking experts previously told Startup that bank acquisitions require a significant amount of due diligence from regulators. Given that Moonstone was partly owned offshore and was involved in crypto, the deal should have raised more regulatory flags, they said.

Before it started raising capital to transform into a tech-focused bank, Farmington had just three staff members and was the 26th-smallest bank in the U.S. out of 4,800, The New York Times reported. Its net worth was $5.7 million, according to the Federal Deposit Insurance Corporation, and it did not offer online banking or credit cards.

The Times reported that in the third quarter this year, the bank’s deposits grew nearly 600% to $84 million. A majority of the increase came from four new accounts, according to the Times.

It was later revealed that Moonstone held nearly $50 million in FTX deposits, Forbes reported.

In December, Sen. Elizabeth Warren (D-Mass.) and Sen. Tina Smith (D-Minn.) pressed U.S. bank regulators to investigate the ties between the banking industry and cryptocurrency firms including Moonstone.

In January, Joseph Vincent quietly left his position as chief legal officer of Moonstone. Vincent joined Moonstone in May and stepped down in December, according to his LinkedIn profile, and as reported by Protos. He was previously director of regulatory and legal affairs at the State of Washington Department of Financial Institutions and is an adjunct professor of law at Seattle University.

Moonstone is led by CEO Gary Rever, who is a director at Vermont State Bank. It was previously led by Ron Oliveira, who departed the CEO position in August.

See also  Crypto and the US Government Are Headed for a Decisive Showdown



Source link

bank Crypto FTX Moonstone operations Startup state ties Washington wind
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Multiple Milestones As New Majority Capital Boosts Entrepreneurship Through Acquisition

September 26, 2023

Getty Images Plunges Into the Generative AI Pool

September 26, 2023

3 Hot Startup Opportunities In Augmented Reality

September 26, 2023

The ChatGPT App Can Now Talk to You—and Look Into Your Life

September 25, 2023
Add A Comment

Comments are closed.

Editors Picks

Now that the Ethereum Merge is behind us, what’s next? • DailyTech

September 15, 2022

The evolution of threat modelling as a DevSecOps practice

July 7, 2022

Ikea Sonos Symfonisk Speaker Lamp 2 review

December 15, 2022

Elon Musk’s legal professionals attempt to decelerate the progress of Twitter’s lawsuit

July 16, 2022

Subscribe to Updates

Get the latest news and Updates from Behind The Scene about Tech, Startup and more.

Top Post

Elementor #32036

The Redmi Note 13 is a bigger downgrade compared to the 5G model than you might think

Xiaomi Redmi Watch 4 is a budget smartwatch with a premium look and feel

Behind The Screen
Facebook Twitter Instagram Pinterest Vimeo YouTube
  • Contact
  • Privacy Policy
  • Terms & Conditions
© 2025 behindthescreen.uk - All rights reserved.

Type above and press Enter to search. Press Esc to cancel.