Silvergate Talking With FDIC About How to Save Crypto-Focused Bank: Bloomberg

FDIC examiners met with Silvergate management at its headquarters in California last week.

AccessTimeIconMar 7, 2023 at 11:00 p.m. UTC
Updated Mar 8, 2023 at 8:02 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Federal Deposit Insurance Corp (FDIC) officials have been consulting with executives of troubled crypto-focused bank Silvergate Capital (SI) on how to keep the company in business, according to a report from Bloomberg, citing people familiar with the matter.

One option may involve recruiting crypto industry investors to help boost Silvergate’s liquidity, according to one of Bloomberg’s sources.

FDIC examiners were authorized to go to Silvergate’s La Jolla, California, headquarters last week by the Federal Reserve, which is Silvergate’s main federal overseer, according to Bloomberg.

The FDIC did not immediately return a request for comment.

Silvergate shares were rising 2.5% to $5.34 in after-hours trading on Tuesday.

Silvergate announced last week it would delay the filing of its annual report because it needed to answer requests from its independent auditors and accounting firm, in addition to pending regulatory and other inquiries and investigations. The company further warned that its ability to “continue as a going concern” over the next year might be impacted by its issues.

The majority of its crypto clients subsequently announced they had left or were leaving the company, sending Silvergate's share price falling by more than 50% to an all-time low.

Silvergate also announced it was discontinuing its Silvergate Exchange Network (SEN) used by institutions to move money to crypto exchanges.

UPDATE (March 7, 22:19 UTC): Added additional background.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Nelson Wang

Nelson Wang was CoinDesk's news editor for the East Coast. He holds BTC and ETH above CoinDesk's disclosure threshold of $1,000.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.