What really happened to the Silicon Valley Bank

Photo by Andy Beales on Unsplash

This video explained the detail of how Silicon Valley Bank collapsed and what the consequence would carry along the way…

In case you do not want to spend 1.5 hours watching the video, here are some highlights about the clip:

There are four questions to ask:

• What happen
• Why the government bailed out the bank
• Is there a better way to prevent such a thing happens again
• What is the best way to avoid such a thing happening again

1. What happens?

We know that banks are making profits through deposits.

During 2019, everything was normal; banks offered lower interest rates to exchange your deposits on their banking and offer services to customers.