Thursday, March 9, 2023

Silvergate. Game over!

Silvergate Capital today announced that it is suspending all operations and liquidating its crypto bank. How did it happen?

➖ At the beginning of the year, Silvergate reported an annual loss of almost $1 billion, even though last year, the net profit of the crypto bank was $75.5 million.

➖ The January trend for massive reductions in crypto projects did not bypass Silvergate. Hundreds of former employees are back in the labour market.

➖ At the beginning of February, the US Attorney’s Office initiates an investigation citing Silvergate as a possible money laundering partner for FTX and Alameda.

➖ Problems begin to roll like a snowball. Strategic partnerships are crumbling. Coinbase cuts cooperation with Silvergate and transfers VIP customer service to another bank. It is followed by MicroStrategy, Tether, Paxos, Circle, and also leaving from Silvergate.

➖ White House Press Secretary Karine Jean-Pierre at a briefing that the Presidential Administration is aware of ongoing events in Silvergate. This was the last news before today’s final. This may have been the previous victim of the FTX infection. And maybe not…

https://preview.redd.it/jgjm25re3pma1.jpg?width=2084&format=pjpg&auto=webp&v=enabled&s=dcad2863c5878d28d618e558326a6260704a32b2


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