Silvergate begins NYSE delisting process as it readies to cut 230 staff

Silvergate determined its in the “best interests” of stakeholders to “lessen costs and costs” to protect worth. A few of the personnel to be cut include those that are “crucial” in preparing these filings, the firm added.Related: GAO points out direct exposure to digital properties in checking out collapse of Signature BankOn March 8, Silvergate Capital first revealed it would voluntarily liquidate Silvergate Bank.Days earlier, a line-up of crypto companies, consisting of Gemini, Coinbase, Galaxy Digital and BitStamp, severed ties with the bank as it faced a Justice Department examination over supposed ties to the collapse of FTX. Publication: Unstablecoins: Depegging, bank runs and other dangers loom

The parent company of the collapsed Silvergate Bank will be delisted from the New York Stock Exchange, and 230 of its staff will be let go, Silvergate Capital has disclosed.In a May 11 filing to the United States Securities and Exchange Commission, Silvergate Capital said 230 staff will be “separated” starting May 12. The NYSE also suspended trading in its stock, with delisting to start “soon.” A year-to-date chart of Silvergate Capitals share price reveals a nearly 93% price drop because the start of 2023 Source: Google FinanceAfter the personnel cut, “approximately 80 staff members and officers” will be left to continue Silvergate Banks liquidation process.More cuts are on the horizon. At least three more headcount cuts are slated, for June 30, Aug. 30 and Nov. 30 “or later on,” the filing states.Silvergate estimated staff drawdown expenses would land around $13.6 million with expenses on retention, reward and severance pays in addition to job positioning programs.No more monetary updatesIn a separate May 11 SEC filing, Silvergate said its not able to file lawfully needed monetary reports for the 2022 financial year and the first quarter of 2023 and “does not expect to be able” to file any comparable reports in the future.The company pointed out “challenges” due to “constant advancements associating with the regulatory and other questions and investigations that are pending,” and liabilities from legal action and the banks liquidation procedure. Silvergate states it is done filing 10-Ks, 10-Qs and proxy declarations, in big part because of “the constant developments connecting to the regulative and other queries and investigations that are pending with respect to the Company and the Bank” https://t.co/1EpkRKAixt pic.twitter.com/i1D6S1daGP— Bank Reg Blog (@bank_reg) May 11, 2023.