Crypto derivatives platform LedgerX, one of the few solvent pieces of the bankrupt FTX empire, will no longer use embattled Silvergate Bank to receive domestic wire transfers beginning Wednesday, Bloomberg News reported. The company will use Signature Bank going forward, according to an email LedgerX sent to customers that was reviewed and verified by Bloomberg. LedgerX already had an existing relationship with Signature, according to two of the people who confirmed the email. In a statement, Signature Bank said that “While we can’t comment on specific clients, we are still in the business of holding digital asset deposits.” The bank disclosed in December that it was reducing its exposure to the sector, though not completely. FTX US, the American affiliate of FTX, completed its acquisition of LedgerX in October 2021, more than a year before the crypto exchange’s shocking descent into bankruptcy. LedgerX is registered with the U.S. Commodity Futures Trading Commission, and was an important part of FTX co-founder Sam Bankman-Fried’s push to gain power and influence in Washington. The platform previously sought approval from the CFTC to clear crypto derivatives trades without intermediaries, but withdrew its controversial application after FTX imploded.
