On March 1, crypto-friendly banking group Silvergate Capital announced it would delay filing its annual 10-K report, (the 10-K report is a document required by the U.S. Securities and Exchange Commission that provides a comprehensive overview of a company’s business and financial condition.) and It will take another two weeks to complete reporting for the 2022 fiscal year, the company said.
As soon as the news came out, its stock price fell by more than 30% after hours. In addition, partners have cut off their business contacts.
Within 24 hours of announcing delays in filing 10-K filings, Coinbase, Circle, Bitstamp, Galaxy Digital and Paxos said they would scale back their partnerships with cryptocurrency banks. Gemini also announced that it has stopped accepting customer deposits and processing withdrawals via Silvergate ACH and wire transfers. Others include Crypto.com, Blockchain.com, Wintermute, GSR, and Cboe Digital, among others.
As of 10:00 am today (March 3), Silvergate’s share price has fallen sharply by 58.7% to $5.57. The stock is down over 97% since its November 30, 2021 all-time high (ATH) of $239.36.
