LUXEMBOURG, April 27, 2021 /PRNewswire/ -- Bitstamp, the
world's longest-running cryptocurrency exchange, announced today
that they've surpassed $50 million in
loan originations through Silvergate Capital Corporation (NYSE:SI)
("Silvergate")'s SEN Leverage product.
Silvergate, the leading provider of innovative financial
infrastructure solutions to the digital currency industry,
announced last year that Bitstamp would be the first digital
currency organization to offer custody and collateral management
through SEN Leverage. Since then, Bitstamp has brought on a number
of top institutional customers including Alameda Research and Amber
Group and experienced rapid growth due to strong demand for the
offering. At this rate, Bitstamp believes it can originate over
$250 million in such loans by the end
of 2021.
"As more and more corporations put digital assets on their
balance sheets, institutions want access to the flexibility of
collateralized digital assets, like bitcoin, to manage their
positions," said Hunter Merghart,
Head of US at Bitstamp. "We've seen incredible demand for this
product to help in capital management."
SEN Leverage allows institutional customers to trade any asset
on-platform with leverage collateralized by bitcoin or U.S.
dollars. Through this engagement, Bitstamp custodies and manages
the bitcoin used as collateral. SEN Leverage is powered by the
Silvergate Exchange Network ("SEN"), which is used to fund loans
and process repayments in near real-time, 24 hours per day, 7 days
per week.
Ben Reynolds, Chief Strategy
Officer at Silvergate, said, "As an early collateral management and
custody provider for SEN Leverage, Bitstamp has worked alongside us
to provide an exceptional lending experience for the digital asset
industry. We're pleased with the industry's adoption of SEN
Leverage so far and look forward to welcoming more institutional
customers together."
Institutional Praise
Amber Group, a global crypto
finance provider with over $1bn in
AUM, spoke about how SEN Leverage and Bitstamp has improved their
capital flexibility, saying, "SEN Leverage product has
significantly improved our capital utilization for our trading
activities on Bitstamp, helping us boost volume further with
minimal funding cost."
Bitstamp is dedicated to providing best-in-class service to
retail and institutional digital asset investors. The pioneering
crypto exchange has built a reputation as a highly reliable
platform with the best uptime in their industry and consistently
ranks in the top 10 spot markets in terms of volume for almost a
decade.
About Bitstamp
Bitstamp is the world's longest-running
cryptocurrency exchange, supporting investors, traders and leading
financial institutions since 2011. With a proven track record,
cutting-edge market infrastructure and dedication to personal
service with a human touch, Bitstamp's secure and reliable trading
venue is trusted by over four million customers worldwide. Whether
it's through their intuitive web platform and mobile app or
industry-leading APIs, Bitstamp is where crypto enters finance. For
more information, visit www.bitstamp.net.
About Silvergate
Silvergate Capital Corporation (NYSE:
SI) is the leading provider of innovative financial infrastructure
solutions and services for the growing digital currency industry.
The Company's real-time payments platform, known as the Silvergate
Exchange Network, is at the heart of its customer-centric suite of
payments, lending and funding solutions serving an expanding class
of digital currency companies and investors around the world.
Silvergate is enabling the rapid growth of digital currency markets
and reshaping global commerce for a digital currency future.
Silvergate Contacts:
Natalie Short / Conor Shea
press@silvergate.com
Forward Looking Statements
Statements in this earnings release may constitute forward-looking
statements within the meaning of the Securities Exchange Act of
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SOURCE Bitstamp