The Biden administration moved quickly over the weekend to bolster confidence in the banking sector after the collapse of Silicon Valley Bank, the 16th largest bank in the United States. The collapse of Silicon Valley Bank occurred with breath-taking speed for an institution that wasn’t insolvent, playing out over a matter of hours. So who is paying for the “bailout” of Silicon Valley Bank and Signature Bank? The emergency measures will fully protect all depositors at Silicon Valley Bank and give them access to all of their money beyond the $250,000 that is normally guaranteed by the FDIC. Also “a similar systemic risk exception” decision was taken for Signature Bank of New York which had been teetering in recent days.

Source: Washington Post March 13, 2023 16:47 UTC