FDIC Takes over Silicon Valley Bank
1–10 of 1001 posts
Re: FDIC Takes over Silicon Valley Bank
#2Oldie but goodie on what actually happens when a bank is taken over. https://www.npr.org/2009/03/26/102384657/anatomy-of-a-bank-t...
Re: FDIC Takes over Silicon Valley Bank
#3Yesterday I read on here that "xyz doesn't mean SVB is going under like FTX did five minutes after doing that".
Re: FDIC Takes over Silicon Valley Bank
#4Oh dear. It guess this is how the VC pyramid scheme collapses. $151BN uninsured deposits in the bank. [0]
Now all those unprofitable startups will be falling like dominoes as now the money is tied up in the bank with withdrawals disabled.
Re: FDIC Takes over Silicon Valley Bank
#5Only 3% of deposits in the bank are FDIC insured; other depositors will need to wait for the receivership process to run to get access to (what remains) of their deposits.
edit: replace "bankruptcy" with "receivership" as the latter is usually a faster process than the former.
Re: FDIC Takes over Silicon Valley Bank
#6Oldie but goodie on what actually happens when a bank is taken over. https://www.npr.org/2009/03/26/102384657/anatomy-of-a-bank-t...
That's fascinating. I'd love to watch a documentary about that.
Re: FDIC Takes over Silicon Valley Bank
#7It's kind of amazing how much optimism there was just an hour ago regarding SVB's position.
Re: FDIC Takes over Silicon Valley Bank
#8Turns out Twitter making bank failure a meme didn’t really help anything at all. It’ll be very interesting to see what happens to uninsured depositors
Re: FDIC Takes over Silicon Valley Bank
#9Yesterday I read on here that "xyz doesn't mean SVB is going under like FTX did five minutes after doing that".
The difference is that SVB's depositors will see most of their money back, which is the point of the FDIC taking over.
Re: FDIC Takes over Silicon Valley Bank
#10First actual FDIC takeover since 2020, I think.