First, let’s go through the context of the problem with the US banking sector:
On March 8, 2023, it was announced that Silvergate Bank would wind down its operations and liquidate.
On March 10, 2023, Silicon Valley Bank (SVB) failed after a bank run, where too many people tried to get their money out of the bank at the same time.
On March 12, 2023, Signature Bank also proved to be unable to provide customers with their deposits.
On March 15, 2023, Credit Suisse was facing a lack of confidence until the Central Bank ensured its protection.
In this article you should be able to understand what mistakes banks did, if your money is protected from a bank bankruptcy, if more bankruptcies are coming how can you keep your money safe.
Silicon Valley Bank Miss Management
Your bank wouldn’t go under without any mistakes. Banks are complex organizations with many risks. After 10 years of low-interest rates, banks need to change their risk measures against a rise in interest rates to be protected.
