Bitstamp Surpasses $50 Million in Loan Originations through Silvergate's SEN Leverage

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
[email protected]

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SOURCE Bitstamp