On Monday, Silvergate Capital Corp. said that President Ben Reynolds was laid off in connection with the decision to wind down operations at its subsidiary, Silvergate Bank, a crypto-friendly institution that was swallowed up in last year s digital-asset meltdown.
Reynolds was laid off on Monday, according to a filing by the company. He would get certain severance benefits but wouldn't be entitled to any further compensation under his former employment agreement, according to the filing. In November, Reynolds was promoted to president.
In that filing, Silvergate also said Mary-Margaret Henke told the company on March 14 that she was resigning from the boards of Silvergate Capital and Silvergate Bank. Her decision took place a day later. The company said on Monday it received a letter from the New York Stock Exchange notifying the company that it had breached the exchange's listing standards after the bank failed to file its 2022 annual report in a timely manner. The letter was received on March 17, about a week after the company said it intended to wind down operations and liquidate the bank. Silvergate said on Monday it needed more time to complete tasks related to filing the report - a 10 K form. If Silvergate fails to file the late report and has any other delayed filings within six months of the due date, the exchange may allow the company's securities to trade for up to an additional six months depending on specific circumstances. If the exchange decides that six-month window isn't appropriate, suspension and delisting procedures will begin, Silvergate said.