On March 10, 2023, an acceleration in fund withdrawals left Silicon Valley Bank on the brink of collapse, as the bank was unable to generate sufficient cash to meet depositor demands. The Federal Deposit Insurance Corporation (FDIC), tasked with maintaining financial system stability, took over Silicon Valley Bank to protect depositors. Since the bank was insured by the FDIC, depositors are assured that funds up to $250,000 in different types of accounts are protected.
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