Investors and depositors tried to withdraw $42 billion from the collapsed US Silicon Valley Bank on Thursday alone.
The American Silicon Valley Bank (SVB) – mainly active as a banker of tech companies – ran into difficulties last week and was closed by the authorities on Friday. The federal public service FDIC, which provides insurance to customers, has been appointed as administrator.
The bank experienced a true bank run on Thursday. This came after the announcement that SVB wanted to raise $ 2.25 billion in capital to support its finances.
On Thursday alone, an attempt was made to withdraw $42 billion, according to official documents. In the end, the bank turned out to have insufficient cash to meet the requests.
It is the largest failure of an American bank since the financial crisis of 2008. The problems also reflected on banks and stock exchanges worldwide on Friday.
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