Silvergate to be liquidated after the cryptocurrency crash wiped out the bank.
Silvergate Capital will shut down operations and voluntarily liquidate its bank after the cryptocurrency market crash has seen billions of deposits leave the bank in recent months.
“In light of recent industry and regulatory developments, Silvergate believes an orderly closure of the bank’s operations and voluntary liquidation are the best course forward,” the La Jolla, Calif.-based bank said in a regulatory filing. “The Bank’s liquidation plan provides for the full repayment of all deposits. The Company is also evaluating how best to resolve claims and preserve the residual value of its assets, including its proprietary technology and tax assets,” Silvergate said.