They were forced into action after Silicon Valley Bank collapsed on March 10, 2023, quickly followed by two other lenders, First Republic and Signature Bank.
Faced with the threat of a billowing crisis that could threaten the banking industry — the worst one since 2008 — rivals and regulators put together a huge bailout fund.
Indeed, many bankers and their lobbyists now rush to describe the period as a regional banking crisis, a term that tends to understate how worried the industry was at the time.
One reason for the increased tensions is that government officials are proposing rule changes that lenders argue will crimp their businesses, and would not have done much to stem Silicon Valley Bank’s collapse.
In just a few days last March, Silicon Valley Bank went from a darling of the banking world to collapse.
Organizations:
First, Signature Bank, Silicon Valley Bank
Locations:
Silicon