The recent collapse of Signature Bank, with assets worth $110 billion under management, has been attributed to mismanagement and risky crypto deposits, according to a comprehensive report released by the Federal Deposit Insurance Corporation (FDIC). The root cause of the bank’s troubles was attributed to poor management and its reliance on uninsured deposits. The majority of the bank’s digital asset-related deposits were uninsured, and its growth had outpaced the development of its risk control framework. According to the report, the FDIC did not provide timely guidance as it lacked adequate staff. The bank’s collapse was sparked by a propulsive run on deposits caused by the consecutive failures at Silvergate Bank and Silicon Valley Bank, both of which were heavily connected to digital assets. Panic in the market led to a bank run that was faster than any other bank run in history, except the run that had just taken place at SVB. Signature had severe liquidity controls and faced a cash shortfall of almost $4 billion. Consequently, regulators seized the bank on March 12 as it was unable to satisfy the exponentially rising rate of expected withdrawals.