Silvergate Bank: Court Approves $37.5M Cash Settlement With Silvergate Capital Corporation in Securities Fraud Class Action

In the wake of FTX cryptocurrency fraud, investors claim Silvergate Bank misled the public about its customer vetting and anti-money laundering programs.Subsequent run on the bank led to Silvergate Bank's demise and Silvergate Capital's bankruptcy. SAN DIEGO, Sept. 03, 2025 (GLOBE NEWSWIRE) -- Today, a federal judge in California granted final approval of a $37.5 million cash settlement between investors and Silvergate Capital Corporation, the holding company for Silvergate Bank, resolving a securities fraud class action against the bank. A premier banking service provider to cryptocurrency platforms, Silvergate Bank allegedly made materially false and misleading statements about the integrity of the bank's compliance framework, particularly its customer monitoring and anti-money laundering assurance programs.Originally filed on December 7, 2022, Silvergate investors' complaint claimed they incurred significant losses beginning in November 2022 as the truth emerged about the bank's lax customer vetting and monitoring program - a critical bank safeguard to prevent exposure to money laundering and criminal activity. Then, on January 5, 2023, Silvergate disclosed that the collapse ...Full story available on Benzinga.com