Silicon Valley Bank is Dead

Discussion in 'The Mainboard' started by Menelaus, Mar 10, 2023.

  1. rulethirty

    rulethirty UCF and Alabama are basically peers.
    UCF KnightsOrlando MagicMiami DolphinsOrlando CityBig 12 Conference

    Oh gotcha. Yeah those guys need to take a lap. Some of their comments have been outrageously irresponsible imo.

    Not sure in California. Its not the case here in the free state of Florida. The fdic said they’d honor all deposits, so probably no longer the case, but myself and my partners were going to defer our own pay to make sure payroll went uninterrupted for everyone else. We pulled together resources to make it 90 days or so under worst case and started making phone calls to raise money to replenish. We typically float between 8 and 18 months runway (when cash gets high we spend, when low we cut - we treat out balance kind of like a speedometer)

    Hopefully by end of week everything we came up with will be seen as overkill. I choose optimism.
     
  2. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

  3. user15000

    user15000 Well-Known Member

  4. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

    This guy pays for Twitter blue why are we taking financial advice from him
     
  5. rulethirty

    rulethirty UCF and Alabama are basically peers.
    UCF KnightsOrlando MagicMiami DolphinsOrlando CityBig 12 Conference

    Honoring deposits isn’t bailing out a bank. It’s literally the purpose of FDIC. $250k is guaranteed but they almost always recover more. Someone told me it’s been like 30 years since any depositor wasn’t able to made whole.

    Propping the bank back up and letting it continue operations and allowing execs to make out like bandits and etc. Thats a bailout.
     
    Bar None, slogan119, leroi and 10 others like this.
  6. user15000

    user15000 Well-Known Member

    Dynamite reply
     
  7. DollarBillHokie

    DollarBillHokie Usher is the worst
    Donor
    Virginia Tech HokiesTiger Woods

    I think the correct way to think about all of this is we, as a society, have the tools and and interconnectivity to implement a bank run far faster than any regulator ever dreamed possible. I can’t argue this is the right tool to fix it, but the world is an infinitely better place without bank runs.
     
    Funshot Residue, THF, One Two and 5 others like this.
  8. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

    Thank you
     
    hood b. goode, Cabs, Redav and 6 others like this.
  9. Tug

    Tug Well-Known Member
    Donor
    Detroit LionsDetroit PistonsMichigan State Spartans

    It really sounds like the processes that the government has in place for things like this were pretty quick and effective in this event
     
    herb.burdette, bwi2 and rulethirty like this.
  10. Lyrtch

    Lyrtch My second favorite meat is hamburger
    Staff Donor

    i wonder if we have enough juice with tmb for a bank run

    maybe a pump and dump?

    ok how about a crypto rug pull?
     
  11. rulethirty

    rulethirty UCF and Alabama are basically peers.
    UCF KnightsOrlando MagicMiami DolphinsOrlando CityBig 12 Conference

    I heard from someone that they took it over kind of preemptively. They were guessing all the funds would be recoverable because it hadn’t been allowed to keep going.

    kind of fascinating if that’s true
     
    Tug likes this.
  12. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

    Please stop posting about penises pperc has a modest disposition
     
    Jax Teller and pperc like this.
  13. Arliden

    Arliden Well-Known Member
    Donor

    He is very good in regards to the mechanics of the Fed as he was a former employee there during covid. But he does lean more conservative on financial issues. Take your bits and pieces.
     
  14. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

    He pays for Twitter blue
     
  15. Arliden

    Arliden Well-Known Member
    Donor

    Yea yea I get it, still aren’t going to get better information on the inner mechanics of the Fed.
     
  16. pperc

    pperc Well-Known Member
    Donor

    Don’t be modest
     
  17. Bert Handsome

    Bert Handsome I'm sorry, the card says Moops
    Donor TMB OG
    Notre Dame Fighting IrishMilwaukee Brewers altMilwaukee BucksGreen Bay PackersTiger Woods

    This dopes funding base is in rooins

     
    Lyrtch likes this.
  18. Sir Phobos

    Sir Phobos Knight of Mars, Beater of Ass.
    Donor TMB OG
    Virginia Tech HokiesWashington NationalsLos Angeles LakersWashington Football TeamWashington CapitalsBayern Munich

    not only did he get ratioed into orbit, he's making a considerable amount of replies which are also being ratioed into orbit.

    I genuinely want to know the dollar amount of realized wealth where you lose touch with the hoi polloi because it really seems like that number does exist.
     
  19. Seavie

    Seavie Loading tweet...
    Donor TMB OG
    Alabama Crimson Tide

    Let’s do it and be legends
     
  20. Lyrtch

    Lyrtch My second favorite meat is hamburger
    Staff Donor

  21. Lyrtch

    Lyrtch My second favorite meat is hamburger
    Staff Donor

  22. user15000

    user15000 Well-Known Member

    USDC is a stablecoin and doesn’t even pretend to be defi. It’s truly remarkable how you find this ignorant stuff.
     
    Harrison Beck and rulethirty like this.
  23. rulethirty

    rulethirty UCF and Alabama are basically peers.
    UCF KnightsOrlando MagicMiami DolphinsOrlando CityBig 12 Conference

    I mean, that guy doesn’t even have a paid for blue check.
     
  24. Lyrtch

    Lyrtch My second favorite meat is hamburger
    Staff Donor

  25. GoodForAnother

    GoodForAnother I’d rather be down the allotment
    Staff Donor TMB OG
    Kansas State WildcatsKansas City RoyalsKansas City ChiefsSporting Kansas CityTottenham HotspurBig 8 ConferenceBig 12 ConferenceCoors LightFormula 1

    insurance tmb would like to state for the record that we support getting rid of the insurance industry
     
  26. Doc Louis

    Doc Louis Well-Known Member
    Donor

    So now will companies not put all their money in one bank? Are there going to be more smaller banks now? Will be interesting to see how it plays out.
     
  27. Jay Jay Okocha

    Donor

    Apparently the Basel Accords may have saved a broader panic in that there is so much visibility on bank’s balance sheets.

    That’s the ying to the Yang of tech connectivity and bank runs I guess.
     
  28. Gallant Knight

    Donor
    Arkansas RazorbacksHouston AstrosRice OwlsAston Villa

    And don’t have the ability to view anything with an ounce of nuance.

    just a bunch of 6th graders who get their news from YouTube
     
    Hatfield and BudKilmer like this.
  29. Gallant Knight

    Donor
    Arkansas RazorbacksHouston AstrosRice OwlsAston Villa

    Lol so a bunch of regional banks might be 0s
    00A72C13-4F5A-48DA-999A-CB9ABCB7B4BB.png 31123315-5131-488C-9F42-7220A220B426.png
     
  30. billdozer

    billdozer Well-Known Member
    Donor
    Clemson TigersCarolina Panthers

    Regulators seize Signature Bank in third-largest US Bank faulure
    [​IMG]
    https://finance.yahoo.com/news/regu...-third-largest-us-bank-failure-231404695.html

    Regulators seized New York regional bank Signature Bank (SBNY) two days after shutting down Silicon Valley Bank as overseers of the banking system try to restore calm before markets open Monday.

    Signature becomes the third-largest bank to ever fail in the U.S., behind Silicon Valley Bank and Washington Mutual in 2008, if its assets haven't changed significantly since the end of 2022. Signature had $110 billion in assets as of Dec. 31, ranking 29th among U.S. banks. It had $88 billion in deposits as of that date.

    A joint statement from the Treasury Department Secretary Janet Yellen, Federal Reserve Chair Jerome Powell and FDIC Chair Martin Gruenberg said that all deposit holders would be made whole, citing a "systemic risk exemption" that is also being applied to Silicon Valley Bank, but that shareholders and certain unsecured debtholders will not be protected. Senior management, they said, had been removed.

    Any losses to the FDIC's Deposit Insurance Fund to support depositors who exceeded the $250,000-protected limit, they added, "will be recovered by a special assessment on banks, as required by law." The FDIC maintains the fund with regular contributions from banks.

    Signature served clients in the cryptocurrency world. Like Silvergate Bank, another crypto-friendly bank that said last week it would voluntarily wind itself down, it had been suffering from an outflow in deposits in the aftermath of the collapse of crypto exchange FTX. The value of some of its securities had also dropped in value due to a rise in interest rates.
     
  31. BudKilmer

    BudKilmer Well-Known Member
    Donor TMB OG
    Atlanta HawksAtlanta FalconsAvengers

    It is literally insane how destructive assholes like W and Trump were to financial systems
     
  32. Bruce Wayne

    Bruce Wayne Billionaire Playboy
    Donor
    Michigan Wolverines

    Great system we have here folks where we can count on massive banking failures every 10 years +/- a couple.
     
  33. Jay Jay Okocha

    Donor

    Banks have always failed historically, even when regulations were better (I think internationally they’ve never been better though).

    It’s a This Time Is Different mentality except to the negative side to think we can eliminate bank failures and that it might be just one regulation repealed that causes a bank crash. I’d blame Presidents for systemic failure.
     
    leroi likes this.
  34. user15000

    user15000 Well-Known Member

    BuY tHe ReGiOnAL BaNk EtF!!

     
    NothingIsOT likes this.
  35. Bo Pelinis

    Donor TMB OG
    Nebraska CornhuskersKansas City RoyalsKansas City ChiefsBig 8 Conference

    Usually the aim is to buy when stocks are down hth
     
  36. Menelaus

    Menelaus The Red-Haired King
    Donor
    Alabama Crimson TideReal Madrid

    Looks like JPM, PNC, Apollo are most likely acquirers for what’s left of SVB
     
  37. herb.burdette

    herb.burdette Meet me at the corner of 8th and Worthington
    Donor
    Ohio State Buckeyes

    On Wednesday, SVB proposed to issue a new round of stock, with the sale to increase its liquidity. On Friday, they were under federal receivership.

    They moved quickly and decisively.
     
    DistantFactor and THF like this.
  38. Bruce Wayne

    Bruce Wayne Billionaire Playboy
    Donor
    Michigan Wolverines

    Jamie Dimon has made a career of getting banks on the cheap while letting the government foot the bill on the bad pieces
     
  39. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

    It’s literally insane how destructive greedy finance assholes are to our financial system
     
    JohnnyChimpo likes this.
  40. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

    Crypto people usually buy at all time highs and then panic
     
  41. user15000

    user15000 Well-Known Member

    How'd that work out for the people buying SVB stock?
     
  42. Name P. Redacted

    Name P. Redacted I have no money and I'm also gay
    Donor
    Kansas State WildcatsSeattle Kraken

    About as well as buying crypto goes
     
  43. user15000

    user15000 Well-Known Member

    "Scoreboard!" is not exactly a winning argument against btc. Against crypto, sure I guess against some of them, but even a top 10 basket there has almost certainly massively outperformed from cycle bottom to cycle bottom (or top to top) versus whatever you think you're super smart investment strategy is.
     
  44. Bo Pelinis

    Donor TMB OG
    Nebraska CornhuskersKansas City RoyalsKansas City ChiefsBig 8 Conference

    This would make sense if the public stock price (or any investment really) was truly indicative of the value and health of a thing and not a result of irrational human emotional swings
     
    Jax Teller likes this.
  45. user15000

    user15000 Well-Known Member

    Again, neat little system.







     
  46. Penguin The Duck

    Penguin The Duck Well-Known Member / #NFT Influencer
    Donor
    Oklahoma State CowboysTexas RangersDallas MavericksDallas CowboysNashville Predators

    Name P. Redacted you have to have that Gary V mindset and look at the macro and stop focusing on the micro :laugh:

    If you had a Determined Donut NFT you'd know this. Available exclusively on Bitcoin. ZOOM OUT!!!
     
  47. user15000

    user15000 Well-Known Member

    Lol wtf is this word salad? The stock price is indicative of that bank having zero value to the equityholders. In what world is that not reflective of the value and health of the business?
     
  48. Tarpon Nole

    Tarpon Nole Well-Known Member
    Donor
    Florida State SeminolesTampa Bay RaysTampa Bay BuccaneersTampa Bay Lightning

    Now that the crypto bros have shown up, this thread has everything in it
     
  49. Penguin The Duck

    Penguin The Duck Well-Known Member / #NFT Influencer
    Donor
    Oklahoma State CowboysTexas RangersDallas MavericksDallas CowboysNashville Predators

    Sorry, I'm wearing my normie hat today to laugh at users nonsense. Carry on.