Crypto bank Silvergate Capital has announced that it is winding down its operations and liquidating its assets.
"In light of recent industry and regulatory developments, Silvergate believes that an orderly wind down of Bank operations and a voluntary liquidation of the Bank is the best path forward," the company said in a news release. "The Bank’s wind down and liquidation plan includes full repayment of all deposits. The Company is also considering how best to resolve claims and preserve the residual value of its assets, including its proprietary technology and tax assets."
The company's primary role was in helping large investors navigate the crypto space, moving their money in and out of crypto exchanges. It also operated its own exchange, called the Silvergate Exchange Network, which shut down last week.
The bank struggled with liquidity issues as the broader crypto space declined over the past year. These market headwinds combined with regulatory pressure to eventually make the bank's situation untenable.
It is one of the few non-crypto firms to collapse since the market took a turn last year.
Federal Reserve officials signaled that they still expect to cut their key interest rate three times in 2024 despite signs that inflation was surprisingly high at the start of the year.
Brad Bernstein, managing director at UBS Private Wealth Management breaks down the state of the U.S. economy and what to expect from Fed policy from the rest of the year.
SpaceX Investor Chad Anderson discusses Starship's latest test flight, what's next, and why he thinks Elon Musk's leadership sent the company in the right direction.
Dilip Rao, CEO of Sharebite, explains how his startup wants to normalize companies feeding their workers, the role of the private sector in public concerns, and more.
