I mean solvent as having a positive book value based on the market value of their assets. The government requires banks to maintain various ratios. A certain p

I mean solvent as having a positive book value based on the market value of their assets. The government requires banks to maintain various ratios. A certain percentage in liquid assets to cover withdrawls, etc. The big problem was in 1 day 25% of their deposits were withdrawn. Literally no bank can sustain that, from JP Morgan down to your local community bank. The Feds seized SVB because it fell out of compliance with its required ratios but it still had a positive book value for the assets it had.