Tellus promises high rates despite not being actual bank, Barron’s says

After Silicon Valley Bank’s implosion, Tellus disavowed any connection to the failed bank. Instead, the finance start-up called out its connections to two of the nation’s biggest financial institutions, suggesting that client funds were safe from the banking panic, Jacob Adelman writes in this week’s edition of Barron’s. Tellus isn’t a bank, though, and it isn’t regulated like one. Its claimed connections to the traditional finance world are also misleading. When Barron’s asked JPMorgan Chase (JPM) and Wells Fargo (WFC) about their ties to Tellus, both banks expressed surprise. Days after Barron’s contacted JPMorgan and Wells Fargo about Tellus, their names disappeared from the start-up’s home page, which now simply refers to "leading banks" as custodians of customer funds, the author notes. Reference Link