BlocksInform
After a major announcement regarding the Silvergate, who was connected with the ftx lender and is now facing a growing consortium of capital flight and regulatory review, A minimum of two crypto companies visited social media today to announce how the news affected them.
Tether, the stablecoin fixed to the American dollar and supported "100% by the tether reserves", according to its Web site, went on Twitter today to announce that he did not have any visibility on the Californian bank. According to Paolo Ardoino, CTO of Tether, the stablecoin has no exposure to Silvergate.
Circle’s comments
Another stablecoin, USDC, does not. In a separate tweet, Circle said on Mar. 2 that despite its exposure to silvergate, all client assets are kept safe.
“We are sensitive to the concerns around Silvergate and are in the process of unwinding certain services with them and notifying customers,” Circle tweeted.
Silvergate capital, a holding company of silvergate bank, saw its inventory decrease on March 2 as a result of the deferral of its annual report of 10,000.
The bank is currently assessing recent events post-late 2022. Silvergate bank provides business banking with cryptocurrency. The company's share dropped by 45 per cent at the end of the day, and earlier it dropped by 48.8 per cent. As a consequence, Silvergate Capital's cumulative losses increased to 57 per cent.
Market cap and reserves
USDT and USDC are the two biggest stablecoins by market capitalization, each accounting for $71 billion and $42.9 billion, respectively.
According to a recent CryptoSlate report, Wall street institution Cantor Fitzgerald reportedly manages $39B of Tether’s reserves, assets that include approximately $39.2 billion of U.S. Treasury bills.
Dorian Batycka is a journalist interested in art and technology. He's already contributed to coindesk, decipher, artforum, artnet news, art journal, and many more. He can be found on Twitter and Instagram @temp_projects, where he often memes his way through current financial and art news, scandals, and events.
