Economic news
Fed orders Silvergate to complete wind-down while protecting depositors, preserving cash
2023.06.01 12:18
© Reuters. FILE PHOTO: An eagle tops the U.S. Federal Reserve building’s facade in Washington, July 31, 2013. REUTERS/Jonathan Ernst/
WASHINGTON (Reuters) – The U.S. Federal Reserve announced Thursday it was ordering Silvergate Bank to implement its previously announced plan to liquidate itself in a way that protects depositors and preserves its funds.
The order, which formalizes the bank’s previously announced plans, prohibits the bank from distributing capital or dissipating cash assets without regulatory approval. The crypto-focused bank announced in March it would liquidate itself following the dramatic collapse of crypto exchange FTX.
