🇺🇸 METROPOLITAN CAPITAL BANK & TRUST DEFAULTS, BECOMING THE FIRST BANK IN THE US TO GO BANKRUPT IN 2026

The local bank, Metropolitan Capital Bank & Trust in Chicago, has been closed by Illinois state regulators, becoming the first bank in the US to fail in 2026. The main reason is the bank's prolonged losses and weakened capital buffer, likely due to lending and investing during low-interest-rate periods while current rates remain high, resulting in depositors paying more than they generate income.

With assets depreciating and the inability to raise new capital, the bank became unsafe to operate and was closed prematurely to protect depositors. The FDIC took over and arranged for First Independence Bank to acquire all deposits and most of its assets, approximately $261 million, ensuring that no depositors lost money and banking services continued to operate normally.