
Signature and SVB Collapsed with a Risk of Bank Run
By Shubhendra Anand , 03 April, 2023
After the Silicon Valley Bank (SVB) and Signature Bank collapsed, in order to strengthen public confidence in the banking sector the regulators are guaranteeing all the bank’s depositors that they are fully protected.
According to the statement published, the Department of the Treasury, the FDIC and the Federal Reserve announced that the depositors would have all the access to all their money on Monday, since the statement came on Sunday. And the deposits more than $250,000 limit will be insured by the FDIC. The same guarantees are offered to the customers of Signature Bank also.
The collapse of Silicon Valley Bank was shuttered recently in March 2023, it is the second-largest bank failure ever in the U.S. after the self -declared “financial partner of the innovation economy” announced plans to raise capitals and sale of its substantial share for its securities portfolio. And ultimately this de-facto admission of mess has triggered a run on the bank’s which resulted in its downfall. SVB generally used to cater to startups and other companies and not the private customers, and majority of them exceeded $250,000 limit for the FDIC insurance. It implies they were partly unprotected. According to the reports, the depositors took $42 billion in withdrawals a day before the incident took place which ultimately led to the collapse of the bank.
US Corporate Defaults

Latest News

In January 2025, Honda Motor Co., Ltd. and Renesas Electronics Corporation declared a strategic collaboration to create a high-performance system on a chip (SoC) designed for Software Defined Vehicles (SDVs). This cooperation is intended to bolster…

In 2025, NVIDIA is set to transform AI and robotics with its Mega Omniverse Blueprint, a framework for designing, simulating, and optimizing robot fleets within the digital twins of industrial environments. This new initiative combines NVIDIA's…

Public health has benefited dramatically from vaccinations, which have helped completely eradicate or significantly lower the frequency of lethal illnesses. Vaccines will still be among the most potent weapons available in 2025 to stop global…

Oil prices stay on track as United States (U.S.) sanctions on Canada and Mexico keep diverting the market and stable supply levels support a significant weekly decline in 2025. Reuters said this is the biggest weekly decline since October…

The automotive industry will benefit significantly from strategic partnerships in artificial intelligence (AI) and its use in cars. AI integration into automobiles is projected to improve considerably in the year 2025 due to the formation of various…

Head Research
Latest News




