The SVB's shareholders have indeed been zeroed. The shareholders of other banks will benefit from the undercollateralized lending program though, in proportion

The SVB's shareholders have indeed been zeroed. The shareholders of other banks will benefit from the undercollateralized lending program though, in proportion to the amount of bad interest rate risk they took. I don't think these are necessarily bad decisions--it's reasonable to make an example of the worst offender, and then help the rest survive to prevent systemic contagion. It's absolutely not "the system worked" though, except to the extent that the system is regulators making stuff up on the fly.