GM, this the Yellow Dip (Twitter) - We’re like that first sip of coffee to start your day. Deep breath in... deep breath out... ahhhhhh

On our agenda, today we have:

• Quick dips

• Crypto's favourite bank is in danger, let's understand why

• Yellow Dip Crypto portfolio performance 🚀

Quick Dips

Crypto's favourite bank is in danger, let's understand why

A major crypto banker "Silvergate" is in news. In case you haven't heard about Silvergate, here's a quick intro - Silvergate is a U.S. financial institution that mostly deals in cryptocurrency transactions. The company was founded in 1988 as a traditional bank, but in recent years has shifted its focus to serving the needs of cryptocurrency companies.

Now this bank's stock prices reached an all time high in November 2021. In March of last year, there was also a buzz around the prospect of issuing a stablecoin, after it had bought assets from Meta (the Facebook company). But after that, things changed quickly and it lost 95% of the value, in a year.

The company lost $1 billion in the fourth quarter, and guess what caused this - FTX. FTX was once Silvergate's one of the biggest customers and the investors withdrew money from Silvergate, when FTX was going down to bankruptcy. Not only that, eyebrows raised even more when the company delayed its annual report to SEC (like SEBI in India), for 'evaluating its ability to operate'.

So, now what? After this, crypto companies such as Coinbase, dropped Silvergate as its banking partner and others such as Paxos & Circle suspended their partnerships.

The Silvergate Exchange Network is the bank's one of the most popular offering, allowing customers to transact & pay even when the banks are closed. Now this network has also been suspended (see screenshot below)

While we've told you the FTX downfall story, we will keep an eye on this & keep you up-to-date, like we always do!

Yellow Dip Portfolio Performance

This is how our starter's portfolio is performing, with our low-medium risk goal.

Our Portfolio (Last Week) : 6.34%

Our Portfolio (Lifetime) : 37.83%

😂

That's it for today. Stay curious & see ya next week! We hope you learned something new.

As always, feel free to share your thoughts and feedback, and don't forget to share our hard work!

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DISCLAIMER: This newsletter is strictly educational and is not an investment advice to buy or sell any assets or to make any financial decisions. Please be careful and do your own research