STORY AT-A-GLANCE Three large banks failed in a single week in March 2023, and the ripple effect could easily take down the entire banking system. The cascading bank failures began March 8 with the shut down and liquidation of the crypto bank Silvergate Capital. It had invested deposits in Treasury bonds, which lost value as interest rates were hiked to stem inflation
March 10, Silicon Valley Bank (SVB) failed. It too was invested in government bonds, which again became a problem when customers began making large fear-based withdrawals. This was the second largest bank failure in U.S. history, and the largest since the financial crisis in 2008
Spooked by the failure of Silicon Valley Bank, Signature Bank customers withdrew more than $10 billion in the days that followed, resulting in the shutdown of Signature Bank on March 12
Government regulators have promised to make customers of the two banks […]
Excerpt Sourced From: americafirstreport.com
