The Bank Slate

INSIGHTS INTO THE BANKING INDUSTRY

Block.one buys big stake in Silvergate Capital

EOS developer block.one and its CEO have built a nearly 9.3% stake in Silvergate Capital in La Jolla, Calif.

Block.one, in a regulatory filing, disclosed a roughly 7.5% stake in the $15.5 billion-asset Silvergate after buying about 2.3 million shares. Brendan Blumer, in a separate filing, disclosed that he bought another 571,000 shares.

“We believe Silvergate Capital has shown that it consistently innovates beyond its peers within federally regulated banking frameworks,” block.one said in a press release.

Silvergate “has a proven track record of maintaining a liquid and conservative balance sheet investment portfolio – far more conservative than most federally regulated banking institutions,” the release said.

Silvergate’s shares have been under pressure due to digital asset volatility fueled by the FTX implosion. The company has issued its own press releases assuring investors of its access to liquidity and limited ties to FTX.

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