{"id":558885,"date":"2023-03-03T05:08:00","date_gmt":"2023-03-03T02:08:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/microstrategy-tether-adds-to-firms-distancing-from-silvergate-as-stock-dives-57\/"},"modified":"2023-03-03T05:08:00","modified_gmt":"2023-03-03T02:08:00","slug":"microstrategy-tether-adds-to-firms-distancing-from-silvergate-as-stock-dives-57","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/microstrategy-tether-adds-to-firms-distancing-from-silvergate-as-stock-dives-57\/","title":{"rendered":"# MicroStrategy, Tether adds to firms distancing from Silvergate as stock dives 57%"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3bc1e5e3ad3\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3bc1e5e3ad3\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/microstrategy-tether-adds-to-firms-distancing-from-silvergate-as-stock-dives-57\/#%E2%80%9D_MicroStrategy_Tether_adds_to_firms_distancing_from_Silvergate_as_stock_dives_57_%E2%80%9C\" >&#8221; MicroStrategy, Tether adds to firms distancing from Silvergate as stock dives 57% &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_MicroStrategy_Tether_adds_to_firms_distancing_from_Silvergate_as_stock_dives_57_%E2%80%9C\"><\/span>&#8221; MicroStrategy, Tether adds to firms distancing from Silvergate as stock dives 57% &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-48054ca8>Business intelligence firm MicroStrategy and stablecoin issuer Tether have become the latest two firms to publicly deny any meaningful exposure to Silvergate Bank.<\/p>\n<p>The <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> comes after Silvergate announced on March 1 that it would postpone the filing of its annual 10-K financial report, which has many fearing the cryptocurrency bank may be on the brink of a bankruptcy filing.<\/p>\n<p>This led MicroStrategy \u2014 which holds over 130,000 Bitcoin (BTC)\u00a0\u2014 to confirm that its BTC collateral is not custodied with Silvergate.<\/p>\n<p>The Michael Saylor-founded firm added that it will not need to pay back a loan from Silvergate until Q1 2025 and that a bankruptcy or insolvency event wouldn\u2019t \u201caccelerate\u201d the loan repayment. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">We have a loan from Silvergate not due until Q1 \u201825. There are mkt concerns re SI\u2019s fin. condition. For anyone wondering, the loan wouldn\u2019t accelerate b\/c of SI insolvency or bankruptcy. Our BTC collateral isn\u2019t custodied w\/ SI &amp; we have no other financial relationship w\/ SI.<\/p>\n<p>\u2014 MicroStrategy (@MicroStrategy) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/MicroStrategy\/status\/1631366897378680835?ref_src=twsrc%5Etfw\">March 2, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>Paolo Ardoino, the chief <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> officer of Tether, confirmed in a March 2 tweet that Tether is not exposed to Silvergate either. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/hashtag\/Tether?src=hash&amp;ref_src=twsrc%5Etfw\">#Tether<\/a> does not have any exposure to Silvergate.<\/p>\n<p>\u2014 Paolo Ardoino  (@paoloardoino) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/paoloardoino\/status\/1631355032619589633?ref_src=twsrc%5Etfw\">March 2, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>A collapse of the cryptocurrency bank could prove costly for the rest of the industry.<\/p>\n<p>Silvergate is a fintech firm that provides financial infrastructure solutions and services to some of the largest cryptocurrency exchanges, institutional investors and mining companies in the world. <\/p>\n<p>It offers a 24\/7 payments platform, named Silvergate Exchange Network, which has <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.euromoney.com\/article\/2b4pg0dvahqrg6spymyv4\/opinion\/how-inconvenient-of-silvergate-to-survive-crypto-deposit-run\">reportedly<\/a> processed over $1 trillion in transactions since 2017. <\/p>\n<p>The firm also provides a stablecoin infrastructure platform, digital asset custody management and collateralized lending services to several institutional players in the cryptocurrency industry.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/a7d9d3dc-36b9-4633-9f9e-b57c9d626181.jpg\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>A diagram of Silvergate\u2019s clientele and crypto offerings. Source: <\/em><em>Silvergate Bank<\/em><\/figcaption><\/figure>\n<p>Despite the large network effects, the late 10-K filing <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ears to have had a consequential effect on its partnerships. <\/p>\n<p>Within 24 hours of the late 10-K filing, Coinbase, Circle, Bitstamp, Galaxy Digital and Paxos confirmed that they will scale back their partnerships with the cryptocurrency bank in some capacity. <\/p>\n<p>Gemini also <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/Gemini\/status\/1631346063209635844\">announced<\/a> that it has stopped accepting customer deposits and processing withdrawals through Silvergate ACH and wire transfers.<\/p>\n<p>Others who have seemingly cut or reduced ties include Crypto.com, Blockchain.com, Wintermute, GSR and Cboe Digital, according to reports.\u00a0<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Silvergate failed to file their annual report citing regulatory investigations. Possibly not solvent.<\/p>\n<p>They already lost majority of their partners. <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/LKdQtNfRRe\">pic.twitter.com\/LKdQtNfRRe<\/a><\/p>\n<p>\u2014 Quinten | 048.eth (@QuintenFrancois) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/QuintenFrancois\/status\/1631347124347576337?ref_src=twsrc%5Etfw\">March 2, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Concerns of Silvergate\u2019s potential financial troubles first surfaced in Q4 2022, when it reported a net loss of $1 billion\u00a0as a result of the shock collapse of FTX in November. <\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Coinbase no longer accepts payments via Silvergate Bank<\/em><\/strong><\/p>\n<p>The exact dealings between Silvergate and FTX have been subject to a probe by the United States Department of Justice recently, although there\u2019s been no accusation of wrongdoing at this point. <\/p>\n<p>Plaintiffs in a newly proposed class-action lawsuit against FTX on Feb. 14 accused Silvergate of \u201caiding and abetting\u201d a \u201cmultibillion-dollar fraudulent scheme\u201d that was orchestrated by former FTX CEO Sam Bankman-Fried. <\/p>\n<p>Despite many firms recently claiming not to have exposure to Silvergate, the bank still processed over $3.8 billion in customer deposits in Q4 2022. This was a steep fall from $11.9 billion in Q3 2022, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ir.silvergate.com\/news\/news-details\/2023\/Silvergate-Announces-Select-Preliminary-Fourth-Quarter-2022-Financial-Metrics-and-Provides-Business-Update\/default.aspx\">according<\/a> to Silvergate.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/f078ab76-a2fb-4870-836b-3a6d416f4a0b.jpg\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>Silvergate\u2019s change in share price index on the New York Stock Exchange. Source: <\/em><em>MarketWatch.<\/em><\/figcaption><\/figure>\n<p>Since the news of the late 10-K filing on March 1, Silvergate\u2019s stock price has fallen a massive 58.7% to $5.57. The stock is now down over 97% since its all-time high of $219.7, hit on Nov. 14, 2021.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"crypto_biz\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/microstrategy-tether-adds-to-firms-distancing-from-silvergate-as-stock-dives-57\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; MicroStrategy, Tether adds to firms distancing from Silvergate as stock dives 57% &#8220; Business intelligence firm MicroStrategy and stablecoin issuer Tether have become the latest two firms to publicly deny any meaningful exposure to Silvergate Bank. The news comes after Silvergate announced on March 1 that it would postpone the filing of its annual&#8230;<\/p>\n","protected":false},"author":1,"featured_media":558886,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/573f9ca9-07cc-4046-b3ef-b885aad71d28.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[75944,74894,75936,74956,135234,122847,75269,117,70359,36041],"class_list":["post-558885","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitstamp","tag-blockchain","tag-circle","tag-coinbase","tag-ftx","tag-microstrategy","tag-us-government","tag-business","tag-stocks","tag-tether"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/558885","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=558885"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/558885\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/558886"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=558885"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=558885"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=558885"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}