Daniel C
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This is a very good explanation of what happened to Silicon Valley Bank. Cheap interest rates led to huge deposits from startups as they got investment. SVB created mortgages, invested in bonds, & in mortgage backed securities. Raising rates to fight ->

https://t.co/tXV83Me9fZ
04:07 AM - Mar 12, 2023
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Daniel C
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-> inflation lowered the value of the bonds. Assessors noticed, Peter Thiel advised a pullout, and SVB sold assets at a loss to cover withdrawals. The run collapsed them.

Dodd-Frank oversight repealed in 2018 might have helped prevent the risky investment strategy.
In response to Daniel C.
04:08 AM - Mar 12, 2023
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