> I've seen a number of people ask why so many startups banked with SVB, as if this should have been a red flag somehow. The answer is not that tech doesn't wan

> I've seen a number of people ask why so many startups banked with SVB, as if this should have been a red flag somehow. The answer is not that tech doesn't want to work with traditional banks, or because they were greedy and looking for better rates. They banked with SVB because it's one of only a handful of banks that was willing to align its financial products with the holistic levels of risk that are required to work in startups. This is completely bullshit. Unless SVB was subsidizing loans to risky startup employees by lending assets at longer durations, the risks they were taking with those mismatched durations has nothing to do with altruism or philosophy. It’s just greed and lack of foresight to risk the rate hikes.