Depositors get deposits back because their deposits are wrapped up in SVB assets. Once those assets are liquidated they get what is theirs. This could end up be

Depositors get deposits back because their deposits are wrapped up in SVB assets. Once those assets are liquidated they get what is theirs. This could end up being less that 100% if the assets end up being sold for less than the total deposits. The FDIC insures that no matter what you are covered for up to $250k. Let’s say the bank had zero assets then all deposits would get their $250k and likely nothing else since there’s no other assets to sell and distribute. This could have been the case if SVB had larger losses or turned out to be cooking the books or something. But that’s not the case here. They have the depositors money, it just happens to be in illiquid assets that they could’t liquidate fast enough to cover the bank run withdrawals.