LA JOLLA, Calif.–(BUSINESS WIRE)–Silvergate Capital Corporation (“Silvergate” or the “Company”) (NYSE: SI), the main supplier of modern monetary infrastructure options to the digital forex trade, at this time introduced Fidelity Digital Assets, a number one institutional centered execution and custody companies platform supplier, as a custodian for SEN Leverage. SEN Leverage supplies safe, institutional-grade entry to capital by U.S. greenback (“USD”) loans collateralized by bitcoin.
Using SEN Leverage, institutional traders obtain USD financing by coming into right into a mortgage settlement with Silvergate Bank, and Silvergate makes use of its proprietary funds community, Silvergate Exchange Network (“SEN”), to fund the loans. The investor’s collateral – bitcoin – is held by Fidelity Digital Assets in a separate, safe chilly storage account.
“Silvergate is well positioned to offer SEN Leverage due to our lending authority and strong credit culture,” stated Jon Melton, director of digital asset lending at Silvergate. “With Fidelity Digital Assets on board, we’re combining our exceptional lending program with a leading custody services platform, providing investors with greater access to capital.”
The initiative allows institutional traders who at present custody their bitcoin with Fidelity Digital Assets quick access to SEN Leverage. Investors trying to preserve their lengthy bitcoin positions, for instance, can use their bitcoin as collateral with out the necessity to change custody suppliers or alter their place. The skill to finance positions utilizing bitcoin as collateral is indicative of the maturing digital monetary companies infrastructure and provides traders further alternatives to activate their bitcoin with a trusted custody supplier.
“Like Silvergate, we recognize the opportunity to create a more seamless investor experience by helping institutions maximize capital efficiency, as well as the opportunity to strengthen the digital assets ecosystem through greater integration and collaborations like this,” stated Christine Sandler, head of gross sales and advertising and marketing at Fidelity Digital Assets. “The ability to access SEN Leverage while maintaining stability of assets on our custody platform will help us deliver even more value and more choice to our clients to meet their evolving needs.”
Silvergate made SEN Leverage a full product providing in This autumn 2020 and noticed mortgage quantity improve from $35.5MM in Q3 2020 to $82.5MM on the finish of This autumn. The strong lending product continues to develop its contribution to the general success of the Silvergate banking platform.
Learn extra about SEN Leverage here.
Silvergate Capital Corporation (NYSE: SI) is the main supplier of modern monetary infrastructure options and companies for the rising digital forex trade. The Company’s real-time funds platform, often known as the Silvergate Exchange Network, is on the coronary heart of its customer-centric suite of funds, lending and funding options serving an increasing class of digital forex firms and traders world wide. Silvergate is enabling the fast progress of digital forex markets and reshaping international commerce for a digital forex future.
About Fidelity Digital Assets
Fidelity Digital Assets provides a full-service enterprise-grade platform for securing, buying and selling and supporting digital belongings. A enterprise of Fidelity Investments, one of many world’s largest and most diversified monetary companies suppliers with greater than $10.2 trillion in consumer belongings underneath administration as of February 28, 2021, Fidelity Digital Assets combines the operational and technical capabilities of the broader Fidelity group with devoted blockchain experience to ship a totally new providing for institutional traders. Learn extra at http://fidelitydigitalassets.com.
Fidelity Digital AssetsSM (“Fidelity”) is an impartial firm, unaffiliated with Silvergate. Fidelity is a service supplier to Silvergate. There is not any type of authorized partnership, company affiliation or related relationship between the Silvergate and Fidelity, neither is such a relationship created or implied by the knowledge herein.