The now-bankrupt Silvergate Bank was forced to cap its crypto deposits at 15% under threat of being shut down by US regulators, claims to Castle Island Ventures partner Nic Carter.
Former crypto-friendly bank Silvergate Bank likely would have survived had it not been forced into voluntary liquidation by United States regulators that were trying to “decapitate” the cryptocurrency industry, claims an industry executive.
“I believe Silvergate could have survived its drawdown — and was on a path to do so,” Nic Carter, a partner at blockchain-focused Castle Island Ventures, wrote in a Sept. 25 Pirate Wires article.
He cited Silvergate’s recent bankruptcy filings and conversations with sources revealed that the bank was told by Joe Biden’s administration that it must cap crypto deposits at 15% or face consequences.
