‘Old-School’ Signature Bank’s Crypto Foray Ends in Collapse (2)

Signature Bank was flying high when co-founder Scott Shay mused about success on a podcast early last year.

The best decision he ever made, he told the host, was sticking close to the company as it grew ever larger. His advice: Always learn from your failures.

“They become part of you,” he said. “And if you go in the wrong direction, you can become incapacitated by them.”

Signature’s collapse on Sunday, when New York regulators swooped in after a surge of panicked withdrawals, was not what he’d had in mind. It was the third-largest bank failure in the US ...