Marathon Digital Holdings has assured investors that the firm’s cash deposits at Signature Bank are secure and available for use as of March 13.
In a statement following the closure of New York’s Signature Bank, Marathon disclosed that it has approximately $142 million in cash deposits at Signature Bridge Bank.
The Signature Bridge Bank was set up by the United States Federal Deposit Insurance Corporation to manage customer accounts at the recently shuttered Signature Bank. The bridge bank is aimed at ensuring the flow of funds is not interrupted while the regulator searches for a buyer to acquire the assets of Signature Bank.
Marathon also confirmed that it has access to its funds for treasury management purposes, and is conducting its usual business transactions and paying all invoices as usual. Moreover, Marathon still holds over 11,000 Bitcoin which the company views as a financial asset that provides flexibility beyond the conventional banking system.
The Federal Reserve said on March 12 that the decision to close the bank was made in collaboration with the FDIC to protect the U.S. economy and bolster public confidence in the banking system.
