Silvergate Capital Corp. Chief Executive Officer Alan Lane is resigning as the California lender that offered a preview of the problems lurking on bank balance sheets continues to wind down.
(Bloomberg) — Silvergate Capital Corp. Chief Executive Officer Alan Lane is resigning as the California lender that offered a preview of the problems lurking on bank balance sheets continues to wind down.
Lane and the company’s chief legal officer, John Bonino, will both depart effective Tuesday, while Chief Financial Officer Antonio Martino will leave on Sept. 30, the La Jolla-based bank said in a regulatory filing. None of the three will be entitled to further compensation, but “will receive certain severance benefits” provided to employees in the course of Silvergate’s liquidation.
Silvergate collapsed in March after the cryptocurrency firms it served yanked deposits as FTX’s failure roiled the digital-asset market. The run on deposits forced Silvergate to sell long-dated debt held on its balance sheet at a loss. Days after Silvergate said it would voluntarily liquidate, Silicon Valley Bank succumbed to the same fate as its strained finances and weak balance sheet sparked a panic among depositors.
Because of its planned liquidation, Silvergate said it doesn’t plan to seek a new CEO or CFO.
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