The Bank for Cryptos on Life-Support
Bitcoin giveth and Bitcoin taketh. Yes, SilverGate, the bank for the crypto world, is in a state of paralysis, as the dominos triggered by bankrupt FTX continue to trickle across the ecosystem: “crisis at Silvergate also could hit the crypto markets since the bank facilitates key transfers between exchanges, and market makers, which do a lot of the buying and selling of Bitcoin, and other tokens potentially exacerbating existing liquidity issues.” Just within the last 12 months, SliverGate was trading at about $162 per share; today, it is below $6.
When you see that gate painted with silver color, check well because inside could be all wooded jungle. Yet, SilverGate must not confuse the community; its asset is not that hugely significant to destroy the sector. But it is going to cause pain for hodlers, nonetheless! Our expert explains at Tekedia here.
As I have always maintained, you can be decentralized at the crypto level BUT centralized at the exchange level, and governments control big exchanges since they need bank accounts to operate and must be registered.. What does it mean? Governments control cryptos. Let me quote this ancestral Igbo proverb - a bird that flew from the ground only to perch on an ant hill is still very much on the ground.
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