Silvergate Capital Corporation will ‘voluntarily liquidate’ Silvergate Bank
The company claimed that the bank’s voluntary liquidation is its best path forward due to recent industry and regulatory developments.
The parent company of Silvergate Bank, known to many in the space as one of the major crypto banks, has announced plans to “wind down operations” and liquidate the bank.
In a March 8 announcement, Silvergate Capital Corporation said the decision to shutter operations was “in light of recent industry and regulatory developments.” According to the company, the Silvergate Bank liquidation plan included “full repayment of all deposits”.
Many crypto firms, including Coinbase, Paxos, Gemini, BitStamp and Galaxy Digital, announced in March they would cut ties to the bank following an investigation into Silvergate’s alleged involvement in the collapse of FTX. The bank said it would be closing its exchange network on March 3, claiming the termination was a “risk-based decision.“
This is a developing story, and further information will be added as it becomes available.
