According to an article published in the Wall Street Journal on March 20, Coinbase has stopped supporting Signet, a service that was originally provided by the defunct Signature Bank.
In October 2022, Coinbase joined with Signature. Signet was utilized by Coinbase to carry out round-the-clock, instantaneous U.S. dollar transactions with exchanges and institutional clients.
Signature only made its Signet network available to business clients (including crypto exchanges). As a result, the most recent WSJ story states that Coinbase is currently searching for a replacement network to do the same function. A spokeswoman said the situation is "not ideal, shows a need for an upgraded financial system."
Customers may presently move money to and from Coinbase via conventional payment methods, cryptocurrency deposits and withdrawals, and conversions between the USDC stablecoin and the US dollar, the representative said.
The Wall Street Journal reports that even though authorities ordered the closure of Signature on March 12, its Signet network is still active as of March 20.
On March 19, the FDIC said that it had sold Signature Bank to Flagstar Bank. Flagstar will cease all crypto-related activity, which would mean the end of the Signet network's blockchain-based architecture, even though the business has not officially announced that it will shut down Signet.
