Silvergate Capital Files for Bankruptcy Protection Amidst Crypto Market Turmoil
CryptoNewsTerminal Staff18 Sep, 2024
Silvergate Capital Files for Bankruptcy Protection Amidst Crypto Market Turmoil
Silvergate Capital and its banking subsidiary, Silvergate Bank, have recently filed for Chapter 11 bankruptcy protection, marking a significant development in the ongoing turmoil within the cryptocurrency market. The filing, made in the U.S. Bankruptcy Court for the District of Delaware, reveals that Silvergate Capital currently holds assets ranging from $100 million to $500 million against liabilities of between $10 million and $50 million. Previously, the Federal Reserve had taken enforcement actions against Silvergate, but these were lifted after the company demonstrated that it had successfully wound down its operations, repaid depositors, and ceased banking activities. The bankruptcy filing by Silvergate Capital highlights the ongoing challenges faced by the cryptocurrency industry, with several major players having filed for bankruptcy in recent months. The market continues to experience volatility, and it remains to be seen how these events will ultimately impact the future of digital assets and the broader financial landscape.**
