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Silvergate Capital (SI) announced on Wednesday that it will shut down its bank operations in response to the collapse of the cryptocurrency market, which resulted in billions of deposits leaving the bank in recent months. Silvergate’s total deposits and assets had fallen to $6.2 billion and $11.3 billion, respectively, by the end of the fourth quarter of 2017. As a result of the reduction in deposits, Silvergate’s capital as a percentage of its assets fell by 50%. Additionally, this leverage ratio dropped from 10.7% in the third quarter to 5.3%, which is a level of special concern for banks and below which regulators are justified in intervening for any U.S. bank.