Silvergate Capital in La Jolla, Calif., is no longer on pace to create its own stablecoin in 2022.
Alan Lane, the $15.5 billion-asset company’s CEO, made the disclosure during a conference call to discuss quarterly earnings. He said Silvergate is continuing to work with its regulators while also working on building compliance and operational “muscle.”
“We’re certainly disappointed that it looks like we’re gonna miss our goal of launching it this year,” Lane said.
Silvergate earlier this year bought the underlying technology and other assets from Diem.
The company earned $40.6 million in the third quarter, coming up short of Wall Street expectations.
While the number of digital asset clients increased by nearly 30% from a year earlier, to 1,677, the amount of U.S. dollar transfers fell by 30%, to $112.6 billion.
Fee income tied to digital asset customers fell by 2.5%, to $7.9 million.