The US Securities and Exchange Commission (SEC) has declared the IPO of Silvergate Bank pro-crypto. His shares began trading on the NYSE on Thursday. The crypto-friendly bank works with 756 customers in the crypto space, including Coinbase, Gemini, Circle, Bitstamp, Kraken and Bittrex. The bank attributed significant growth to its cryptography business.
Read also: 23 central banks disclose their digital currency needs
Silvergate Bank IPO
The US SEC has declared the initial public offering (IPO) of Silvergate Bank, a crypto-friendly solution, starting Wednesday. Its common shares then began trading on the NYSE on Thursday under the symbol SI. The shares opened at $ 12.75, up 6.25% from the $ 12 IPO price, and closed at $ 12.62.
Silvergate Bank, opened in 1988, is a commercial bank that aims to "create a banking platform for innovators, especially in the digital currency sector, and develop solutions for products and services that meet the needs of consumers. entrepreneurs, "describes the bank's SEC file.
We intend to continue to put the Digital Currency Initiative at the heart of our future strategy and direction.
At the end of September, total assets stood at $ 2.1 billion, deposits at $ 1.8 billion and shareholders' equity at $ 230.6 million.
Go-To Bank for the crypto industry
Silvergate Bank began to focus on providing services to the cryptography industry in 2013. Over the years, it has become a must-have bank for the industry. "We are convinced that our first-mover advantage in the service of the digital currency sector has led to many strategic advantages, many of which pose significant obstacles to the entry of potential competitors," the bank said.
According to his registration statements, the bank had 756 customers in the cryptography industry at the end of September. Among its clients, 69 are stock exchanges, 468 are institutional investors and the rest are cryptographic companies such as mining operators and protocol developers. His clients include Coinbase, Genesis, Bitstamp, Gemini, Sofi, Circle, Kraken, Bittrex and Paxos.
The bank also revealed that about 77% of its eligible cryptocurrency customers are registered with the Silvergate Exchange Network (SEN), its proprietary payment network for the cryptography industry. The system was developed and tested in 2017 and made available to all cryptographic customers of the bank in early 2018. "The main function of the SEN is to allow participants to make transfers in US dollars from their bank account. SEN account from the bank to the bank account. another SEN participant with whom a counterparty relationship has been established and to visualize the transfers of funds received from their SEN counterparties, "the bank added, adding:
Due to our focus on the digital currency sector in recent years and the unique value-added solutions and services we provide, we have improved our deposit base and significantly increased key operational metrics.
What do you think of crypto-friendly banks like Silvergate Bank? Let us know in the comments section below.
Warning: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement or endorsement of any product, service or business. Bitcoin.com does not provide investment, tax, legal advice or accounting advice. Neither the company nor the author is liable, directly or indirectly, for any damage or loss caused or presumed to have been caused by or in connection with the use or reliance on any content, goods or services. services mentioned in this article.
Images courtesy of Shutterstock and Silvergate Bank.
Did you know that you can buy and sell BCH privately using our local non-depository Bitcoin Cash trading platform? The local market.Bitcoin.com has thousands of participants from around the world who are currently trading BCH. And if you need a Bitcoin wallet to store your coins securely, you can download one here.