Silvergate Capital to wind down operations, and liquidate Silvergate bank

Silvergate Capital to wind down operations, and liquidate Silvergate bank.

The firm has served as one of two main banks for the crypto industry, along with Signature Bank.

All deposits will be fully repaid, according to a liquidation plan shared on Wednesday.

“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 statement.

Silvergate said last week it would delay the filing of its annual 10-K for 2022 while it sorted out the “viability” of its business.

Investment firms Citadel Securities and BlackRock recently took major stakes in Silvergate, buying up 5.5% and 7%, respectively.