It was one of the crucial tumultuous weekends within the historical past of fintech, as federal regulators and authorities businesses took swift motion to cease the bleeding after Silicon Valley Financial institution abruptly collapsed.
LIVE BLOG: Silicon Valey Financial institution disaster
The Washington Submit first reported Sunday night time that the Biden administration moved to ensure all deposits on the failed financial institution — central to most fintech traders and working corporations — as of Monday morning.
The response was all around the map, from reward for fast motion:
To scorn for the double customary and untouchable attitudes of some on social media:
SEC chair Gary Gensler mentioned any dangerous actors should not out of the woods simply because the deposits are lined.
“In instances of elevated volatility and uncertainty, we on the SEC are significantly targeted on monitoring for market stability and figuring out and prosecuting any misconduct that may threaten traders, capital formation, or the markets extra broadly,” Gensler mentioned in a posted assertion.
“With out chatting with any particular person entity or particular person, we’ll examine and produce enforcement actions if we discover violations of the federal securities legal guidelines.”
As this plan was introduced, regulators additionally moved to shut down and take over Signature Financial institution, they usually made an analogous promise to cowl these deposits as of Monday as properly.
This week, we can have way more on this story with full response and context.
