Silvergate Stock Sinks on Liquidation News

Silvergate Capital stock is spiraling after the financial firm said it's shutting down operations at its crypto-friendly subsidiary.

Bitcoin coin on top of stock price chart with red and green bars
(Image credit: Getty Images)

Silvergate Capital (SI) tumbled Thursday after the financial firm said it will shut down operations and liquidate assets at its crypto-friendly subsidiary, Silvergate Bank. The decision, which was made voluntarily, was announced on Wednesday, March 8, with SI citing "recent industry and regulatory developments." The firm added that all deposits will be fully repaid.

The announcement follows last Friday's news from Silvergate that it had made a "risk-based decision" to discontinue its Silvergate Exchange Network (SEN), a real-time payments system that investors and cryptocurrency exchanges used to transfer U.S. dollars 24 hours a day. 

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Karee Venema
Senior Investing Editor,

With over a decade of experience writing about the stock market, Karee Venema is the senior investing editor at She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at Schaeffer's Investment Research. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.