{"id":74380,"date":"2026-06-22T09:38:53","date_gmt":"2026-06-22T09:38:53","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/us-banks-post-80-billion-in-profit-as-unrealized-losses-swell-to-325-billion\/"},"modified":"2026-06-22T09:38:53","modified_gmt":"2026-06-22T09:38:53","slug":"us-banks-post-80-billion-in-profit-as-unrealized-losses-swell-to-325-billion","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/us-banks-post-80-billion-in-profit-as-unrealized-losses-swell-to-325-billion\/","title":{"rendered":"US Banks Post $80 Billion in Profit as Unrealized Losses Swell to $325 Billion"},"content":{"rendered":"<p><b>(Originally posted on : Bitcoin News )<\/b><br \/>\n<\/p>\n<div>\n<p><span style=\"font-weight:400\"><\/p>\n<div class=\"@container mb-[25px] rounded-sm overflow-clip py-0.5 pr-0.5 pl-2.5 bg-success-100\">\n<div class=\"flex flex-col gap-m overflow-clip rounded-[6px] !bg-success-10 p-3 @[420px]:p-m\">\n<h2 class=\"m-0 flex items-center gap-s text-[19px] !text-[#1c1c1c] md:text-[20px]\"><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"16\" height=\"10\" viewbox=\"0 0 16 10\" fill=\"none\" class=\"shrink-0 text-success-100\" aria-hidden=\"true\"><path d=\"M1 1.5h14\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><path d=\"M1 8.5h10\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><\/svg><span>Key Takeaways<\/span><\/h2>\n<ul class=\"m-0 flex list-none flex-col gap-m pl-0\">\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">The FDIC reported $325.1 billion in unrealized securities losses for U.S. banks in Q1 2026, up 6.2%.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Held-to-maturity portfolios accounted for $214.5 billion of the total and available-for-sale for $110.6 billion.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Banks still earned $80.5 billion in net income, leaving the losses on paper unless securities are sold.<\/span><\/li>\n<\/ul>\n<\/div>\n<\/div>\n<p><\/span><\/p>\n<h2><span style=\"font-weight:400\">A Growing Paper Loss<\/span><\/h2>\n<p><span style=\"font-weight:400\">The Federal Deposit Insurance Corporation (FDIC) said total unrealized losses climbed $19.0 billion, or 6.2%, from the prior quarter, according to its <\/span><a href=\"https:\/\/www.fdic.gov\/news\/speeches\/2026\/fdic-quarterly-banking-profile-first-quarter-2026\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight:400\">quarterly banking profile<\/span><\/a><span style=\"font-weight:400\"> for the first quarter of 2026. The agency tied much of the increase to a rise in the 30-year mortgage rate in March, which lowered the value of the mortgage-backed securities that banks hold in size.<\/span><\/p>\n<figure id=\"attachment_825004\" aria-describedby=\"caption-attachment-825004\" style=\"width:934px\" class=\"wp-caption aligncenter\"><figcaption id=\"caption-attachment-825004\" class=\"wp-caption-text\">Unrealized losses on held-to-maturity and available-for-sale securities portfolios, per FDIC<\/figcaption><\/figure>\n<p><span style=\"font-weight:400\">Unrealized losses are paper losses on bonds and other securities whose market value has fallen below the price a bank paid. They split into two buckets, i.e. available-for-sale (AFS) securities, which carried $110.6 billion in losses, and held-to-maturity (HTM) securities, which accounted for $214.5 billion. The losses only become real if a bank is forced to sell the underlying bonds before they mature.<\/span><\/p>\n<h2><span style=\"font-weight:400\">Profits Mask the Pressure<\/span><\/h2>\n<p><span style=\"font-weight:400\">On the surface, the industry looks healthy as banks earned $80.5 billion in net income in the quarter, up 3.6% from the prior period, with return on assets reaching 1.26%. Domestic deposits also grew $389.7 billion, a seventh consecutive quarter of growth, suggesting depositors are not fleeing en masse.<\/span><\/p>\n<p><span style=\"font-weight:400\">Yet the unrealized-loss figure is the same kind of stress that helped topple several regional lenders in 2023, when institutions including Silicon Valley Bank were forced to sell underwater bonds to meet withdrawals and crystallized losses they had hoped to ride out. As long as rates stay elevated, the gap between what banks paid for their securities and what those holdings are worth today remains a latent risk on balance sheets.<\/span><\/p>\n<h2><span style=\"font-weight:400\">Why Bitcoiners Are Watching<\/span><\/h2>\n<p><span style=\"font-weight:400\"> <a href=\"https:\/\/www.bitcoin.com\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">Bitcoin.com<\/a> News has tracked the aforementioned banking-sector strain for years, with the Federal Reserve previously revealing that <\/span><a href=\"https:\/\/news.bitcoin.com\/fed-reveals-722-banks-reported-unrealized-losses-over-50-of-capital-as-concerns-over-us-banking-crisis-grow\/\"><span style=\"font-weight:400\">722 banks<\/span><\/a><span style=\"font-weight:400\"> reported unrealized losses topping 50% of their capital, while separate reporting flagged some <\/span><a href=\"https:\/\/news.bitcoin.com\/us-banking-sector-teeters-517b-unrealized-losses-63-troubled-institutions-flagged\/\"><span style=\"font-weight:400\">$517 billion<\/span><\/a><span style=\"font-weight:400\"> in unrealized losses and dozens of troubled institutions across the system. <\/span><\/p>\n<p><span style=\"font-weight:400\">For proponents of <a href=\"https:\/\/www.binance.com\/en\/price\/bitcoin\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">bitcoin<\/a>, an asset held in self-custody carries no counterparty and no maturity mismatch, the very mechanics behind the unrealized losses now piling up on bank books. <\/span><span style=\"font-weight:400\">For the time being, the $325.1 billion figure sits firmly in paper-loss territory and does not threaten the system on its own, turning real only if higher-for-longer interest rates or a sudden deposit exodus force banks to sell. <\/span><\/p>\n<p><span style=\"font-weight:400\">The next reading, due in the FDIC\u2019s second-quarter profile, will be one to watch out for as it will reveal whether the trend is easing or deepening, and whether the gap between record profits and growing securities losses can keep widening without tangible consequences.<\/span><\/p>\n<\/p><\/div>\n<p><a href=\"https:\/\/news.bitcoin.com\/fdic-us-banks-325-billion-unrealized-losses-q1-2026\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : Bitcoin News ) Key Takeaways The FDIC reported $325.1 billion in unrealized securities losses for U.S. banks in Q1 2026, up 6.2%. Held-to-maturity portfolios accounted for $214.5 billion of the total and available-for-sale for $110.6 billion. Banks still earned $80.5 billion in net income, leaving the losses on paper unless securities [&hellip;]<\/p>\n","protected":false},"author":3947362404,"featured_media":74381,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[32],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/74380"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362404"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=74380"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/74380\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/74381"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=74380"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=74380"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=74380"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}