The Fed’s new program is best thought of as a hair-extension operation. Under the BTFP, banks can borrow $100 from the central bank for securities with that face value but far less actual value.

Among measures to counter fallout from the failure of Silicon Valley Bank, the Federal Reserve said it would create a new lending program for banks: the Bank Term Funding Program, or BTFP. The ...

The Federal Reserve Board recently announced that the Bank Term Funding Program (BTFP) will cease making new loans on March 11th. That announcement has prompted depositories to evaluate funding ...

The conclusion of the Bank Term Funding Program (BTFP) on March 11, presents a potentially pivotal moment for various financial markets, including the cryptocurrency sector and, by extension, the ...

The Bank Term Funding Program, or BTFP — launched earlier this year as the banking crisis roiled markets — allows banks and credit unions to borrow funds for up to one year, pledging US ...

Today, however, the btfp is itself causing trouble. The interest rate that banks must pay to borrow reflects, with a small premium, the one-year interest rate set in financial markets.

Data from the Fed showed $147.2 billion in borrowing from the BTFP in the week through Wednesday, Jan. 10. That compares to the prior all-time high of $141 billion reached last week.

The Fed's Bank Term Funding Program may inject $2 trillion into US banking, JPMorgan said. The emergency lending mechanism was created after SVB's failure to help prevent similar bank runs.