Topic: At the disposal of bitcoin-friendly Silvergate Bank funds for $ 1.7 billion (Read 116 times)

California-based Silvergate Capital Corporation has published details on its bitcoin-friendly subsidiary Silvergate Bank, which is currently preparing for an initial public offering (IPO).

The U.S. securities and exchange Commission (SEC) prospectus (form S-1) States that the company positions itself as a "banking platform for innovators."

Currently, Silvergate Bank serves 483 "cryptocurrency clients", which at the end of the third quarter of this year are stored in the financial institution funds in the amount of $1.7 billion as of September 30, 2017, 114 market participants used the services of the Bank. Thus, the increase in the number of Silvergate Bank customers since that time was 323%.

The main clients of Silvergate Bank are crypto-currency exchanges, which store in this financial institution funds for $793 million Deposits of institutional investors, such as hedge funds and venture firms, make $573 million crypto-Startups and miners store $227 million in this Bank.

Silvergate Bank deposits funds to Deposit accounts with other banks and also invests in securities. In addition, part of the profit fininstitut receives through lending programs "with attractive indicators of profit, adjusted for risk."

The Bank has developed its own infrastructure solution called Silvergate Exchange Network (SEN), which connects cryptocurrency exchanges with investors and "provides efficient movement of the us dollar" 24/7.

The company believes that the market of cryptocurrency-oriented financial services, infrastructure solutions and other services plays an important role for the growing industry.

The company plans to raise $50 million during the IPO and get listed on the new York stock exchange under the Ticker SI.

"We intend to continue to focus on digital currency — related initiatives, which are a key element of our strategy," Silvergate representatives stressed.

source forklog.com