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That's just basic logic that anyone would follow to survive. VC's had nothing to do with SVB's bad money management.
by lambic2 4y ago
That's just basic logic that anyone would follow to survive. VC's had nothing to do with SVB's bad money management.
- hello_moto 4y agoThey triggered the rush that exacerbate the downfall. If nobody is rushing, SVB could probably find ways to sell something before it's too late.
- labster 4y agoI see it the other way around. The VCs started a panic. Name one other bank that could survive $42 billion in withdrawals in a single day. Other than Bank of Zimbabwe, obviously. Even Wells and JP Morgan would collapse under that strain. The VCs caused their own pain.
- scopendo 4y agoThe panic was started by SVB, not VCs. Abstract this to any other bank and the reaction would have been the same.
- delfinom 4y agoNo small or medium bank in the US can withstand a bank run