Silicon valley bank collapse: Biggest retail banking collapse since the global financial crisis in 2008.
On Friday silicon valley bank faced the biggest collapse since the global financial crisis in 2008. The move put nearly $175 billion in customer deposits under the control of the Federal Deposit Insurance Corp. Here’s what we know so far about this developing story. Silicon valley bank is one of the major lenders to many big names in the market. Most of the bank investments are bond to US-based market caps.
California banking regulators closed the bank, which did business as Silicon Valley Bank, on Friday and appointed the Federal Deposit Insurance Corporation (FDIC) as receiver for later disposition of its assets.
The main headquarter and all branches of Silicon Valley Bank will reopen on March 13 and all insured depositors will have full access to their insured deposits no later than Monday morning, the FDIC said.
But 89% of the bank’s $175 billion in deposits were uninsured as of the end of 2022, according to the FDIC.