Gemini chief criticises US authorities for double standards

Gemini co-founder and chief executive Cameron Winklevoss accused US regulators of hypocrisy during the First Republic Bank crisis.

First Republic Bank is down another 35% and falling fast. If this was a “crypto” bank it would have been assassinated weeks ago. The fact that is hasn’t been taken into receivership shows just how blatant the double standard is.

— Cameron Winklevoss (@cameron) April 26, 2023

“Shares of First Republic Bank fell by 35% and are still sliding. If it were a crypto bank, it would have been killed several weeks ago. The fact that it has not been taken into receivership shows how blatant the double standards are,” he wrote.

The bank began to experience “structural problems” after authorities closed SIlicon Valley Bank (SVB) and Silvergate Bank.

First Republic consultants said that addressing the firm”s liquidity problems on the private market would allow the company to continue operating.

Fox News correspondent Charles Gasparino wrote on Twitter that the “private bailout” is being advanced by US Treasury Secretary Janet Yellen and her department’s team. However, in his view, authorities do not intend to rescue all depositors as they did with SVB and Signature.

Scoop: Execs at banks involved in the @firstrepublic imbroglio say latest private sector bailout is actually being pushed by @SecYellen & Co who, unless pushed to the brink, dont want to be bailing out ALL depositors as they did w SVB and Signature. Still a heavy lift. Developing

— Charles Gasparino (@CGasparino) April 26, 2023

On April 24, the bank’s shares fell after the publication of its first-quarter report, which showed a $100 billion outflow of deposits. At the time of writing, the stock traded at $5.69, down 29.75% for the day.

Earlier this month, a representative of the New York state banking regulator заявила that the collapse of Signature Bank was not linked to the digital-asset industry. According to her, the bank’s collapse was the result of panic among clients sparked by SVB’s fall.