Circle Internet Financial, issuer of the stablecoin USDC, has announced on Twitter that it is in the process of unwinding certain services with California-based fintech and cryptocurrency bank Silvergate Capital Corp.
Due to regulatory and other business-related difficulties, Silvergate Bank has announced that the company is unable to submit its Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2022, to the Securities and Exchange Commission (SEC) by March 16. Following this announcement, Silvergate stock fell 57.7% on Thursday, and many crypto asset platforms cut ties with the company.
Silvergate used to provide banking services to several cryptocurrency firms, including Sam Bankman-Fried’s bankrupt FTX exchange. Last month, it was reported that Silvergate was being investigated by US prosecutors over its ties to FTX and its subsidiary Alameda Research.
