Why crypto’s go-to bank collapsed

Yesterday, the financial world witnessed a classic run on the bank when Silvergate Capital, the go-to US lender for crypto companies, said it would wind down its operations and voluntarily liquidate.

Silvergate’s shiny hinges have rusted as the crypto bank plans to shut down

Silvergate Capital, a publicly traded crypto bank, shared that it would “wind down operations and voluntarily liquidate” its bank division. The move from the California-based firm followed a run that resulted in it selling off assets at a huge loss to cover over $8 billion in withdrawals amid the broader crypto ecosystem meltdown.