Unchained

Did Washington Crush Crypto’s Most Important Bank? Its Former Chairman Says Yes. - Ep. 780

Listen Later

 Sign up for our free regulatory newsletter!

Silvergate Bank was once crypto’s most important banking partner, handling billions in deposits from the biggest players in the industry. Then, FTX collapsed—and everything changed.

In this episode of Unchained, Mike Lempres, former chairman of Silvergate, talks about how Silvergate grew into a banking giant for crypto, why Washington suddenly turned against them—even after they survived the FTX crisis, and whether Operation Choke Point 2.0 was real.

Plus, did short sellers and politicians work together to tank Silvergate’s stock? And what does the future look like for banks that want to serve crypto?

This is part of the inside story of one of the biggest banking collapses in crypto history.

Show highlights:
  • 2:08 How Mike’s background in banking led him to work in crypto
  • 4:10 Why banking has always been a challenge for crypto companies
  • 5:14 How Silvergate Bank got involved so much with the industry and how it achieved “tremendous growth”
  • 8:10 The “magic” of the Silvergate Exchange Network (SEN)
  • 14:19 Why Mike believes Silvergate’s problem was not banking regulators, but D.C. politics
  • 17:49 How everything changed after the FTX collapse
  • 24:45 Whether SEN is a valuable asset for a bank to have
  • 28:39 Why Mike believes that Operation Choke Point 2.0 is real
  • 30:48 Whether short sellers worked with politicians to tank Silvergate
  • 34:21 How Mike thinks that banks could service the crypto industry

    • Visit our website for breaking news, analysis, op-eds, articles to learn about crypto, and much more: unchainedcrypto.com

    Thank you to our sponsors!
    • RockWallet
    • Somnia Network
    • Quai Network
    • Mantle
      • Guest
      Mike Lempres, Former Chairman of Silvergate BankLinks
      • Unchained: 
      • Why the new FDIC Leadership Isn’t Convinced Operation Chokepoint 2.0 Exists
      • Regulators Are Limiting Banks Serving Crypto Clients. Does That Violate the Law?
      • Rep. French Hill Says He’d Investigate Operation Choke Point 2.0 as Financial Services Chair
      • Are Regulatory Failures to Blame for Crypto Banking Issues?
      • Caitlin Long on Why Operation Choke Point 2.0 Has Bankers Nervous
      • Ahead of Debanking Hearings, Industry Is Divided on Political Strategy
      • Caitlin Long on Why the Fed’s Rejections of Custodia Bank Seem Politically Motivated
      • How Will the FTX Collapse Affect Silvergate? A Bear and a Bull Debate

        • Learn more about your ad choices. Visit megaphone.fm/adchoices

        ...more
        View all episodesView all episodes
        Download on the App Store
        UnchainedBy Laura Shin
        • 4.6
        • 4.6
        • 4.6
        • 4.6
        • 4.6

        4.6

        1,184 ratings

        More shows like Unchained

        View all
        Real Vision: Finance & Investing by Real Vision Podcast Network

        Real Vision: Finance & Investing

        913 Listeners

        CoinDesk Podcast Network by CoinDesk

        CoinDesk Podcast Network

        647 Listeners

        The Breakdown by Blockworks

        The Breakdown

        741 Listeners

        The Pomp Podcast by Anthony Pompliano

        The Pomp Podcast

        1,845 Listeners

        On The Brink with Castle Island by Castle Island Ventures

        On The Brink with Castle Island

        289 Listeners

        What Bitcoin Did by Danny Knowles

        What Bitcoin Did

        268 Listeners

        Markets Outlook by CoinDesk

        Markets Outlook

        136 Listeners

        The Wolf Of All Streets by Scott Melker

        The Wolf Of All Streets

        243 Listeners

        Empire by Blockworks

        Empire

        168 Listeners

        Supply Shock by Blockworks

        Supply Shock

        109 Listeners

        Coin Stories by Natalie Brunell

        Coin Stories

        437 Listeners

        Raoul Pal: The Journey Man by Real Vision Podcast Network

        Raoul Pal: The Journey Man

        136 Listeners

        Forward Guidance by Blockworks

        Forward Guidance

        275 Listeners

        The Milk Road Show by The Milk Road Show

        The Milk Road Show

        50 Listeners

        Limitless Podcast by Limitless by Bankless

        Limitless Podcast

        66 Listeners