Shares in
Silvergate Capital
plunged Thursday, reversing big gains from the previous session, as the bank serving the cryptocurrency industry revealed that deposits have plunged and that it has been forced to sell assets at steep losses.
Silvergate (ticker: SI) stock tumbled 41% in premarket trading after the company released preliminary fourth-quarter financial results. The share-price losses come after a 27% rally on Wednesday, which happened in tandem with a big surge in stocks exposed to the cryptocurrency sector, including
Coinbase Global
(COIN) and
MicroStrategy
(MSTR).
