Silvergate Faces Confidence Crisis In Crypto Sector 

This Crypto Bank Suffers Huge Loss

January 18, 2023 Story: Mohd Javed

US-based cryptocurrency bank Silvergate Capital Corp has suffered a US$1 billion loss for the fourth quarter of 2022.

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This loss led to crisis of confidence in crypto sector resulting from several large bankruptcies.

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California-based Silvergate had suffered US$949 million loss in 2022. It was US$75.5 million in 2021.

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The shares fell 2.9% to $12.94 in after-hours trading on Tuesday.

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The stock has lost almost 90% of its value over the past 12 months.

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Silvergate laid off 40% (around 200 employees) in early January after the FTX collapse.

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The failure prompted mass withdrawals of more than US$8 billion from Silvergate.

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