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

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Silvergate Talking With FDIC About How to Save Crypto-Focused Bank: Bloomberg
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Troubled crypto-focused bank Silvergate is talking with the FDIC about how to keep the company in business, according to Bloomberg. By NelWang

Federal Deposit Insurance Corp officials have been consulting with executives of troubled crypto-focused bank Silvergate Capital on how to keep the company in business, according to a report from Bloomberg, citing sources 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, Calif. headquarters last week by the Federal Reserve, which is Silvergate’s main federal overseer, according to Bloomberg.Silvergate shares were rising 2.5% to $5.34 in after-hours trading on Tuesday.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.

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