IPO Day: Silvergate Bank Makes Its Mark
On November 7, the pro-crypto hero of the banking world, Silvergate Bank, officially kicked off its trading on the New York Stock Exchange (NYSE) under the ticker symbol SI. Opening its trading at a solid $12.75, Silvergate certainly made a splash on its IPO day—what a way to say “Hello, Wall Street!”
Breaking Down the IPO
The silver lining in Silvergate’s journey is its successful IPO which was priced at $12.00 per share, leading to a sale of 3,333,333 shares of Class A common stock. A small portion of those shares, about 824,605, are being sold by the bank itself, while the majority, 2,508,728 shares, are up for grabs from selling shareholders. Not bad for a bank focused on digital currencies!
The Customer Surge: Who’s Banking on Silvergate?
Before their grand NYSE debut, Silvergate was already ruffling the feathers in the crypto world with over 750 customers relying on its services as of September 2019. Notably, this included exchanges, miners, and custodians, which is akin to having a buffet of crypto clientele. Their customer base jumped from 655 to 756 in just a few months—talk about catching a wave!
Facilitating Fiat: The SEN Advantage
What sets Silvergate apart? Enter the Silvergate Exchange Network (SEN), backed by the likes of the Winklevoss twins and their crypto exchange, Gemini. This dynamic network provides 24/7 access to U.S. dollar transfers between members, making it the ultimate playground for crypto enterprises. Just to give you an idea, SEN registered a whopping $10.4 billion in transfers in just three months!
Looking Ahead: What’s Next for Silvergate?
With the IPO under its belt and a growing list of crypto clientele, Silvergate is bound to keep the momentum going. As they continue to facilitate fiat transactions in the ever-growing world of digital finances, the future seems bright. Differences aside, their strategy will likely revolve around handling more crypto businesses and possibly celebrating many more IPO-type victories in the years to come!
