This Crypto Bank Keeps Getting Cheaper: Is It Worth the Risk?
Cryptocurrency markets have been under pressure this year, and the collapse of FTX has only made things worse. Many crypto-related stocks are taking a beating in recent weeks due to the fallout from FTX's filing for bankruptcy protection. One stock feeling the pressure is Silvergate Capital (NYSE: SI), a bank focused on serving cryptocurrency customers.
Silvergate looked to calm fears when it told investors it had limited exposure to FTX in terms of deposits and loans. However, its stock has declined about 70% since mid-September as investors remain concerned about its exposure to other struggling companies in the crypto industry. While Silvergate faces risks, things may not be as bad as it seems.
Silvergate Capital provides banking services to customers in the cryptocurrency market, helping them navigate uncertain regulations and move money.
Source Fool.com
