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The bankers did a very poor job here, for sure ! But it was far from insovlent - it was insovlent if everybody decided to pull out their funds at once - which is what happened. Not a single bank could withstand that.

But so did the client base - we're not talking about small depositors here - if I read the documents correctly, Circle had >8B $ in SVB and they moved 5B $ before the week-end. It was a handful of wealthy individuals that organized this bank run.



> it was insovlent if everybody decided to pull out their funds at once

Which is the definition of insolvent.

A normal bank just goes to the Fed as the lender of last resort but, apparently, they won’t lend money to insolvent banks so here we are.


> Not a single bank could withstand that.

Wrong. Banks whose assets are worth more than liabilities can get unlimited low interest loans from the fed.




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