Bank Run USA Panic - Second USA Bank Collapses in 3 Days, Run of Withdrawals Causes Liquidity Crisis

[TexasTowelie]

Silicon Valley Bank is experiencing a LIQUIDITY CRISIS following a RUN of withdrawals which has forced the bank to sell long terms bonds and incur massive losses. SVB's shares fell by 60% in 1 day and have now been suspended. This Crisis comes within days of Silvergate Bank encountering the same problems which led to the bank falling into LIQUIDATION. In this video I provide details of the problems at both banks and discuss the risks of this Crisis spreading across the whole financial system and causing another GLOBAL FINANCIAL CRISIS.

Chapters:
0:00 Intro
2:51 SILICON VALLEY BANK
4:09 SVB BUSINESS MODEL
10:00 CUSTOMER REACTION
11:49 SILVERGATE
18:32 SUMMARY & CONCLUSION

[Deuxcents]

1. No bailing out banks. Been there

Could bitcoins n digital currencies have been a factor. Just asking ..

[TexasTowelie]

2. Crypto was related to the failure of Silvergate, but I haven't dug into the details for SVB.

The Silvergate bank was part of the financial schemes dreamed up by Samuel Bankman-Fried while he was at FTX. I wouldn't be surprised if the SVB failure is related to the mess though.

[Deuxcents]

3. Ty.. I'm not versed on bitcoin, etc but, imo,

I don’t think much of it. That’s probably b/c of my lack of understanding but it’s not backed or insured like other funds and seems speculative. We sure don’t need this as so much work has gone into our economic recovery