The Wall Street Journal reports that Coinbase has discontinued support for Signet, a service once offered by the defunct Signature Bank. March 20th.
Coinbase will partner with Signature in October 2022. Coinbase used Signet to instantly execute USD trades with exchanges and institutions around the clock.
Signature offered its Signet network only to commercial clients (including crypto exchanges). Coinbase is now looking for a new network to fill the same role, according to the WSJ’s latest report. A spokeswoman said the current situation was “not ideal” and added that it “demonstrates the need for a modern financial system.”
A spokesperson said customers can now transfer funds to and from Coinbase through traditional payment methods, cryptocurrency deposits and withdrawals, and conversions between USDC stablecoins and US dollars.
Signature was shut down by regulators on March 12, but its Signet network is still up and running as of March 20, according to The Wall Street Journal.
The FDIC announced the sale of Signature Bank to Flagstar Bank on March 19. Flagstar has not confirmed that it will shut down Signet, but the company will cease crypto-related activities.