On Thursday, shares of Silvergate Capital have been hit hard and are currently on a steady decline of nearly 40%. This comes after the crypto-focused bank revealed its preliminary results for the final quarter which showed a large number of crypto withdrawals. The total deposits made by clients of digital assets fell to nearly $3.8 billion by the end of the fourth quarter in 2022, representing a fall of almost 68% from the last quarter’s closing figure of $11.9 billion.
The withdrawals took place at the same time the cryptocurrency exchange FTX, one of Silvergate’s clients, shut down in the midst of a crisis, which raised concerns regarding the reliability of the digital asset business. According to Silvergate, there is currently a “crisis of confidence across the ecosystem.”
This is a developing story and is being frequently updated.
The post Breaking: Silvergate Stock Crashes Nearly 50% As Firm Struggles With Crypto Deposits appeared first on CoinGape.
