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I don't get it. The FDIC insurance threshold is the bare minimum provided by law. SVB's assets are being sold off or restructured to protect depositors. This is
by im_down_w_otp 4y ago
I don't get it. The FDIC insurance threshold is the bare minimum provided by law. SVB's assets are being sold off or restructured to protect depositors. This is literally the whole point of the receivership process. This appears at this point to be a fairly pedestrian FDIC bank take-over, save for all the culture war B.S. that's cropped up around it.
- hypothesis 4y agoSo, at least two banks failed this week, 16th largest and a smaller one. Then Fed panics and effectively institutes an “unlimited” insurance/backstop policy, as a direct result. I don’t know if I would call those events “pedestrian”.
- deleted 4y ago[deleted]
- justin66 4y ago> This appears at this point to be a fairly pedestrian FDIC bank take-over, You believe invocation of the systemic risk exception is the norm?