Two days after raising doubts about its potential, Silvergate Capital decided to shut down the Silvergate Exchange Network (SEN), their cryptocurrency payment network.
Despite this, Silvergate said that all other deposit-related services will remain operational.
SEN is one of the most popular bank offers that allows 24-hour transfers between investors and crypto exchangers, unlike traditional banks that require several days to complete.
However, Silvergate shares on Friday fell more than 2% after hitting Friday's lows with a 97% slide.
It is widely known that Silvergate is in the process of assessing its ability to continue operations, where the company has sold additional debt securities* this year at a loss.
*A financial asset created when one party lends money to another party
After intending to stop SEN, crypto exchange giants such as Coinbase Global Inc and Galaxy Digital have ended their cooperation with Silvergate as a banking partner.
Not only that, stablecoin producers Paxos and Circle, crypto exchange Cboe, Bitstamp and Gemini have also taken similar actions by suspending their cooperation with Silvergate.
