(PR Newswire) Dear Wall Street Journal Editors:
Every day, there is new analysis or additional opinions on the cause of the collapse of Silicon Valley Bank (SVB). SVB has played a foundational role in the infrastructure of the venture capital industry for decades. In fact, SVB’s failure was the second-largest bank failure in all of U.S. history. On Sunday, March 12th, the Federal Reserve, Treasury Department, and the FDIC took unprecedented measures to guarantee the $175 billion in deposits at the time of failure, way beyond what is required by the FDIC. This action demonstrated to the world that the bank’s failure was too big of a risk to the U.S. economy and that the venture capital industry is a key component of the fabric of the U.S. economy.
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