Cryptocurrency
Crypto Firm Deposits Jump 24% in Q1 at Metropolitan Commercial Bank
As reported on Coindesk, “Deposits from digital currency customers at New York-based Metropolitan Commercial Bank – one of the few U.S. banks openly serving the crypto industry – increased for the first time in more than a year. “While the $3.6 billion-asset bank more than doubled its loan loss provisions to $4.8 million in the […]
As reported on Coindesk, “Deposits from digital currency customers at New York-based Metropolitan Commercial Bank – one of the few U.S. banks openly serving the crypto industry – increased for the first time in more than a year.
“While the $3.6 billion-asset bank more than doubled its loan loss provisions to $4.8 million in the first quarter, the bank’s overall deposit base grew by $231 million quarter over quarter, including a $25 million increase from the crypto sector, according to its earnings release. The level of digital currency deposits is 24 percent higher than last quarter but 40 percent lower than the same quarter last year.
“The share of those deposits that were crypto customers also grew from 3.7 percent of total deposits in the fourth quarter of 2019 to 4.2 percent of total deposits, or $129 million, in this last quarter.
“While the steady decline in the bank’s crypto business has stopped, Metropolitan Commercial will likely keep the business line steady at around 4 percent of total deposits, said Christopher O’Connell, a bank stock analyst at investment firm Keefe, Bruyette & Woods…”