Silicon Valley Bank (SVB) was shut down and turned control over to Federal Deposit Insurance Corporation (FDIC) on Friday, March 10, 2023, and Signature Bank on Sunday, March 12, 2023. Digital Practices for the Future of BankingThe collapse of SVB and Signature Bank highlighted the risks of exposure to manual processes and human error previously observed in the 2008 banking crises. This business model exposed each bank to the broader risk of a bank run if the niche industry were to collapse. For example, Signature Bank reported digital asset-related client deposits reached $16.52 billion, approximately 18.65% of the $88.59 billion total deposits as of December 31, 2022. This means the FDIC will step in to reimburse you for your insured deposits, up to the legal limit in the 2023 banking crisis.

Source: Los Angeles Times March 16, 2023 14:25 UTC