Silvergate Stock (SI) Decline Of 58%, Traders Earn 10,000% Profit
Key Points:
- Silvergate Capital ($SI) experienced a significant decline of 58% in its stock value today.
- A group of new traders boldly moved by opening positions on the $SI 10 P 3/3/2023, which expires in two days, earning approximately 10,000% profit.
Silvergate, a crypto-friendly bank, has recently been hit with several negative developments. On March 2, the bank announced that it would delay the release of its 2022 annual report, citing being “undercapitalized” as the reason.
Following this announcement, major crypto companies, including Coinbase, Paxos, and Circle, ceased doing business with Silvergate, and Tether and Gemini clarified that they have no exposure to the bank. As a result, the bank’s stock price plummeted by almost 60% in a single day.
According to Unusual Whales, Silvergate Capital ($SI) experienced a significant decline of 58% in its stock value today.
Interestingly, a group of new traders boldly moved by opening positions on the $SI 10 P 3/3/2023, which expires in just two days. Their decision proved highly lucrative as the traders earned approximately 10,000% profit today. This means a mere $13,000 investment yesterday turned into an astounding $1.3 million return in just one day.
As the second-largest encrypted banking service provider after Signature Bank, Silvergate has close ties with multiple exchanges, market makers, and stablecoin issuers. It has been facing a series of setbacks after the FTX incident, and the bear market’s customer squeeze may exacerbate the liquidity crisis.
Despite these challenges, Silvergate is still under the supervision of the SEC and banking regulators. The bank has received multiple loans and rescue funds, and regulatory authorities may intervene to stop the serious run, boost market confidence and customer trust, and control the crisis within a certain range.
It remains to be seen how Silvergate will recover from these setbacks and regain the trust of its customers and partners. The incident highlights the potential risks and challenges facing crypto-friendly banks and their relationships with the broader crypto ecosystem. As the industry continues to grow and evolve, it is essential that banks and other financial institutions take steps to ensure they are properly capitalized, supervised, and positioned to navigate the volatility and uncertainties of the crypto market.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu
Thana
Coincu News
Author
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Silvergate Stock (SI) Decline Of 58%, Traders Earn 10,000% Profit
Key Points:
- Silvergate Capital ($SI) experienced a significant decline of 58% in its stock value today.
- A group of new traders boldly moved by opening positions on the $SI 10 P 3/3/2023, which expires in two days, earning approximately 10,000% profit.
Silvergate, a crypto-friendly bank, has recently been hit with several negative developments. On March 2, the bank announced that it would delay the release of its 2022 annual report, citing being “undercapitalized” as the reason.
Following this announcement, major crypto companies, including Coinbase, Paxos, and Circle, ceased doing business with Silvergate, and Tether and Gemini clarified that they have no exposure to the bank. As a result, the bank’s stock price plummeted by almost 60% in a single day.
According to Unusual Whales, Silvergate Capital ($SI) experienced a significant decline of 58% in its stock value today.
Interestingly, a group of new traders boldly moved by opening positions on the $SI 10 P 3/3/2023, which expires in just two days. Their decision proved highly lucrative as the traders earned approximately 10,000% profit today. This means a mere $13,000 investment yesterday turned into an astounding $1.3 million return in just one day.
As the second-largest encrypted banking service provider after Signature Bank, Silvergate has close ties with multiple exchanges, market makers, and stablecoin issuers. It has been facing a series of setbacks after the FTX incident, and the bear market’s customer squeeze may exacerbate the liquidity crisis.
Despite these challenges, Silvergate is still under the supervision of the SEC and banking regulators. The bank has received multiple loans and rescue funds, and regulatory authorities may intervene to stop the serious run, boost market confidence and customer trust, and control the crisis within a certain range.
It remains to be seen how Silvergate will recover from these setbacks and regain the trust of its customers and partners. The incident highlights the potential risks and challenges facing crypto-friendly banks and their relationships with the broader crypto ecosystem. As the industry continues to grow and evolve, it is essential that banks and other financial institutions take steps to ensure they are properly capitalized, supervised, and positioned to navigate the volatility and uncertainties of the crypto market.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu
Thana
Coincu News
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