SILVERGATE THROWS IN THE TOWEL Losses followed the decision of crypto-focused bank Silvergate Capital to close up shop on Wednesday after depositors and customers fled the company. Last week, the bank closed its Silvergate Exchange Network, a key element in its attempt to provide a bridge between traditional banking services and the digital-assets industry. Without what Moody’s Investors Service has called its “core franchise” and following an exodus of large customers, it was unclear what market the Silvergate Bank operation would be able to serve. Unlike the bankruptcies that roiled the crypto industry last year, Silvergate is planning to liquidate its business in what it called “an orderly manner” according to a news release on its website. The stock, which is still trading, fell to $2.41 Friday afternoon, 51% below its Wednesday close. |