Home / Cryptocurrency / The US bank serving 483 cryptocurrency companies seeks an IPO

The US bank serving 483 cryptocurrency companies seeks an IPO

The US bank serving 483 cryptocurrency companies seeks an IPO

Finance

Silvergate Bank, based in San Diego as a state-owned bank in California, started its cryptocurrency business in 2013. Now its parent company wants to become public, revealing that 483 companies in the crypto sector are using the bitcoin services – friendly "bank.

Read also: Poll finds McAfee is the most influential encrypted trading figure

$ 1.7 billion of Crypto deposits

<img class = "alignright size-medium wp-image-249373″ title=”The US bank serving 483 cryptocurrency companies seeks an IPO” src=”https://news.bitcoin.com/wp-content/uploads/2018/11/ipo-300×188.jpg” alt=”Bank of the United States serving 483 cryptocurrency companies seeking an IPO "width =" 300 "height =" 188 "srcset =" https://news.bitcoin.com/wp-content/uploads/2018/11/ipo-300×188 .jpg 300w, https://news.bitcoin.com/wp-content/uploads/2018/11/ipo-768×480.jpg 768w, https://news.bitcoin.com/wp-content/uploads/2018/11 / ipo -1024×640.jpg 1024w, https://news.bitcoin.com/wp-content/uploads/2018/11/ipo-696×435.jpg 696w, https://news.bitcoin.com/wp-content/uploads / 2018 /11/ipo-1392×870.jpg 1392w, https://news.bitcoin.com/wp-content/uploads/2018/11/ipo-1068×668.jpg 1068w, https://news.bitcoin.com/wp -content /uploads/2018/11/ipo-672×420.jpg 672w "sizes =" (maximum width: 300px) 100vw, 300px”/>Silvergate Capital Corp., the parent company of Silvergate Bank, recently filed a prospectus with the US Securities and Exchange Commission to raise a maximum of $ 50 million by selling shares to the public on the New York Stock Exchange. In February, the bank sold 9.5 million shares, raising $ 114 million in a private placement.

In addition to attracting hundreds of new customers, the opening of Silvergate Bank to the cryptocurrency sector has also made it possible to rapidly increase deposits without interest, reaching $ 1.7 billion in the third quarter of 2018. The bank capitalizes the funds it obtains from encrypted companies to distribute them in interest deposits in other banks and investment securities, as well as in "some loan opportunities that offer attractive risk-adjusted returns".

<img class = "aligncenter size-full wp-image-249418″ title=”The US bank serving 483 cryptocurrency companies seeks an IPO” src=”https://news.bitcoin.com/wp-content/uploads/2018/11/silvergate1.jpg” alt=”Bank of the United States serving 483 cryptocurrency companies seeking an IPO "width =" 780 "height =" 1016 "srcset =" https://news.bitcoin.com/wp-content/uploads/2018/11/silvergate1.jpg 780w, https://news.bitcoin.com/wp-content/uploads/2018/11/silvergate1-230×300.jpg 230w, https://news.bitcoin.com/wp-content/uploads/2018/11/silvergate1 -768×1000 .jpg 768w, https://news.bitcoin.com/wp-content/uploads/2018/11/silvergate1-696×907.jpg 696w, https://news.bitcoin.com/wp-content/uploads/2018 / 11 /silvergate1-322×420.jpg 322w "sizes =" (maximum width: 780px) 100vw, 780px”/>

Lots of space to grow up

<img class = "alignright size-medium wp-image-249378″ title=”The US bank serving 483 cryptocurrency companies seeks an IPO” src=”https://news.bitcoin.com/wp-content/uploads/2018/11/bank-300×188.jpg” alt=”Bank of the United States serving 483 cryptocurrency companies seeking an IPO "width =" 300 "height =" 188 "srcset =" https://news.bitcoin.com/wp-content/uploads/2018/11/bank-300×188 .jpg 300w, https://news.bitcoin.com/wp-content/uploads/2018/11/bank-768×480.jpg 768w, https://news.bitcoin.com/wp-content/uploads/2018/11 / bank -1024×640.jpg 1024w, https://news.bitcoin.com/wp-content/uploads/2018/11/bank-696×435.jpg 696w, https://news.bitcoin.com/wp-content/uploads / 2018 /11/bank-1392×870.jpg 1392w, https://news.bitcoin.com/wp-content/uploads/2018/11/bank-1068×668.jpg 1068w, https://news.bitcoin.com/wp -content /uploads/2018/11/bank-672×420.jpg 672w "sizes =" (maximum width: 300px) 100vw, 300px”/>The company reassures potential investors that the niche market it has built up alone still has plenty of room to grow. Estimated that "the addressable market for fiat currency deposits in digital currencies is about $ 30 to $ 40 billion". In addition, Silvergate Bank reports that it already had another 145 potential cryptocurrency customers waiting at various stages of the customer acquisition process by the end of the third quarter of the year.

Silvergate Bank's largest group of clients – "some of the largest US markets and global investors in the digital currency industry" – owns its investment funds and operating funds with the bank. Another group of cryptocurrency clients includes software developers, miners, custodians and industry participants in general. These entities are said to represent 22.6% of the bank's cryptocurrency customers as of September 30, 2018. And the bank adds that "we believe this group presents opportunities for future growth as the digital currency industry continues to develop ".

Is it a sign that equity investors are still trying to get into the bitcoin ecosystem? Share your thoughts in the comments section below.


Images courtesy of Shutterstock.


Check and track your bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. In addition, continue with your holdings, BCH and other coins, on our market rankings at Satoshi & # 39; s Pulse, another original and free Bitcoin.com service.

Source link