Perspective : SILICON VALLEY BANK COLLAPSE

US President Joe Biden has assured the American people and businesses that a resolution of the collapse of the Silicon Valley Bank will not put taxpayer’s money at risk, and that they can have confidence that their bank deposits would be there when they need it. Further, the Biden administration has announced that depositors of the failed Silicon Valley Bank will have access to their money starting Monday. A joint statement from the US Treasury, Federal Reserve and Federal Deposit Insurance Corporation on Sunday stated that depositors will have access to all of their money starting Monday. The California-based Silicon Valley Bank – the 16th largest bank in the United States – was closed on Friday by the California Department of Financial Protection and Innovation, which later appointed the FDIC as its receiver. Started in 1983 in Santa Clara, Caifornia, SVB was deeply entrenched in the tech startup ecosystem and the default bank for many high-flying startups… As its name implies, it largely served technology startup companies, venture capital firms, and well-paid technology workers.