Yizhu Wang

The failure of SVB warned banks of velocity of deposit runs in the digital banking era. Coming out of the crisis, SVB expects real-time payments to provide it with a competitive edge, according to Gagan Kanjlia, chief product officer.

Diversifying bank relationships can help fintechs meet growth goals and guard against customer disruption in the event that a bank partner faces stress.

Banks have made some inroads using blockchain to process payments for sectors such as cargo shipping and payroll processing, but getting more acceptance is now challenged by the perceived link between cryptocurrency and blockchain.

Buy-now, pay-later players are rebalancing funding sources and loan portfolios due to higher costs of funding. Their offerings are increasingly blended into established consumer lending products that charge interest and leverage bank partnerships.

The bank group that aimed to leverage public blockchain for payments has decided to switch the underlying technology to private blockchain. The technology is built, and the banks are waiting for regulatory approvals to take it live.

LevelField’s proposed acquisition of Burling Bank puts it at the intersection of several areas that have drawn intense scrutiny from regulators and lawmakers.

Buyers are eyeing publicly traded targets that have seen their stock prices depressed by a market correction as investors shifted their focus to profitable companies and away from those seeking growth at all costs.

Silvergate Capital will be offboarding certain noncore customers and will discontinue some complex but underused products such as cryptocurrency custody and some cash management services, executives said. It aims to be profitable in the second half.

Total returns of five select banks with exposure to cryptocurrency assets badly lagged the industry benchmark during a one-year time period, but two-year returns of Customers Bancorp and Metropolitan Bank Holding stocks outperformed.

Regulators remain concerned about the potential risks that financial technology companies can pose but previous bank-and-fintech combinations can give dealmakers greater clarity into how to navigate the regulatory approval process.