- Silvergate, the San Diego-based regional lender that transformed itself into a go-to bank for the crypto industry, plans to wind down operations in the face of turmoil in digital currency markets.
- Its stock dropped more than 30% in after-hours trading to $3 a share.
- In the past few months customers have withdrawn more than $8bn, forcing the bank to sell held-to-maturity assets and accruing losses of $718mn.
- Silvergate has hired Centerview Partners and Cravath, Swaine & Moore as advisers to assist in winding down its operations.
Crypto bank Silvergate to shut down in face of market turmoil
Silvergate, a regional lender for the crypto industry, plans to wind down operations due to market turmoil. Its stock dropped 30% to $3 a share and customers withdrew more than $8bn.