Silvergate Bank announced the termination of its own payment network SEN. Information about this is available at website.
“Silvergate Bank has made a risk-based decision to terminate the Silvergate Exchange Network, effective immediately. All other services related to deposits continue to work,” the message says.
Company representative comment CoinDesk clarified that a similar message was “sent to companies from the crypto sector.”
SEN is an internal payment network that customers can use to transact with each other. Among the latest: Binance.US, Kraken and Gemini.
Silvergate took the decision to shut down the service shortly after Moody’s downgraded its rating from Ba3 to B2.
March 2 financial institution announced on the delay in the publication of the annual report for SECagainst which the capitalization collapsed by 48.82%.
On March 3, short trader Mark Kohodes tweeted photos of the company’s supposedly abandoned office.
No one home.. Just now at HQ $SI pic.twitter.com/kQ6TJ5798A
— Marc Cohodes (@AlderLaneEggs) March 3, 2023
In the comments The Block he stated that “Silvergate is a public crime scene and [CEO] Alan Lane belongs in jail.”
“I would be very surprised if the bank opened next week,” the trader added.
Recall that in early March, many crypto companies distanced themselves from the financial institution, including Bakkt, MicroStrategy, Circle and Paxos. The latter has stopped all SEN transfers to Silvergate accounts.
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