Citadel Securities filing shows 5.5% stake in crypto bank Silvergate

February 16th, 2023 - A regulatory filing by Ken Griffin's Citadel Securities has revealed a $25 million stake in the crypto bank Silvergate (NYSE: $SI). The investment is as a result of Citadel's role as a market maker, rather than a directional investment - but has created a jump in the Silvergate share price.

While significant for Silvergate, its shares are still down nearly 20% year-to-date as a result of the FTX collapse and a decrease in the usage of its payment network.

Citadel's position stands in contrast to Soros Fund Management, whose Monday regulatory filing revealed a put options position against 100,000 shares of Silvergate as of Dec 31. The strike price on the puts and information on whether they were part of a broader trade was not available.

But keeping Citadel company in their position are State Street, who earlier this month reported a 9.32% passive stake in Silvergate, and Blackrock, who recently revealed they had increased their stake in the crypto bank from 5.9% to 7.2%.