1. SipPop GamesHome
  2. Blockchain Buzz

FDIC to sell assets and provide uninsured deposit of Silicon Valley Bank customers

• Blockchain Buzz • 325 views

On March 12, according to people familiar with the matter, the Federal Deposit Insurance Corporation (FDIC) of the United States is selling assets and providing

FDIC to sell assets and provide uninsured deposit of Silicon Valley Bank customers

On March 12, according to people familiar with the matter, the Federal Deposit Insurance Corporation (FDIC) of the United States is selling assets and providing uninsured deposits of some customers of Silicon Valley Bank as soon as possible on Monday. People familiar with the matter said that the amount of asset realization was 30-50% or more of the uninsured deposit.

Bloomberg: FDIC is selling assets and will return some uninsured SVB deposits on Monday

Analysis based on this information:


The Federal Deposit Insurance Corporation (FDIC) is set to sell assets and provide uninsured deposits of some customers of the Silicon Valley Bank on Monday, as reported by people close to the matter. This move by the FDIC is aimed at protecting the depositors’ funds and ensuring a smooth transition of assets to another banking institution.

The FDIC is responsible for safeguarding depositors’ funds in the event of bank failures. The Silicon Valley Bank, based in Santa Clara, California, is a regional bank that provides banking, financing, and investment services to the technology and healthcare industries. The bank has over $60 billion in assets and holds deposits from various customers, both insured and uninsured.

The sale of assets and provision of uninsured deposits is a normal process that occurs when a bank fails or ceases to operate normally. The FDIC steps in to protect depositors’ funds by selling the bank’s assets to another banking institution or liquidating them and returning the funds to the depositors.

According to people familiar with the matter, the amount of asset realization for Silicon Valley Bank customers is expected to be between 30-50% or more of the uninsured deposit. This means that the FDIC will liquidate some of the bank’s assets to cover the uninsured deposits of some customers.

It is important to note that this move by the FDIC is not a cause for alarm. The deposits of insured customers of Silicon Valley Bank are protected up to $250,000 per depositor. Additionally, the FDIC has a strong track record of protecting depositors’ funds and ensuring a smooth transition of assets to other banks.

In conclusion, the FDIC’s sale of assets and provision of uninsured deposits of some customers of Silicon Valley Bank is a routine process to protect depositors’ funds and ensure a smooth transition of assets to another banking institution. The FDIC has a strong track record of protecting depositors’ funds and customers of Silicon Valley Bank with insured deposits are not affected by this process.

This article and pictures are from the Internet and do not represent SipPop's position. If you infringe, please contact us to delete:https://www.sippop.com/12.htm

It is strongly recommended that you study, review, analyze and verify the content independently, use the relevant data and content carefully, and bear all risks arising therefrom.

Like (0)
Previous 03/12/2023 01:45
Next 03/12/2023 02:05

Related recommendations