Twitter CEO Elon Musk reportedly stated that he is "open to the idea" of purchasing the troubled Silicon Valley Bank (SIVB), according to the well-known cryptocurrency market alerts service Unusual Whales. Musk expressed interest to acquiring SIVB and be a virtual bank.
On February 10, 2023, Californian officials shut down Silicon Valley Bank and gave the US Federal Deposit Insurance Corporation (FDIC) control of it. The FDIC will be in charge of selling the bank's assets and determining how to reimburse customers under the present scenario.
The decision concludes a tumultuous week for the technologically oriented bank, whose financial difficulties sparked hysterical speculation among stockholders. Other entrepreneurs thought about withholding their funding as a result of SIVB's difficulties, which also raised concerns about a potential impact on the whole banking industry.
New ideas contend that the collapse of SIVB was planned. A thorough inquiry into the matter, according to some stakeholders, might reveal what caused the bank to fail.
Custodia bank's founder, Caitlin Long, tweeted that she thinks some residents of Washington, DC, are relieved that SIVB has fallen. She claimed that their goal was to subdue some of the FinTech and banks who were doing things differently. Another Twitter user, Nic Carter, endorsed Long's claim and suggested an investigation into the members of Congress who instigated the bank run because of their vendettas against cryptocurrencies and technology.
The startup community is now more unsure as a result of SIVB's demise. Many entrepreneurs are concerned about how to withdraw their money and what could happen to their companies. The creator of the health food delivery service FarmboxRx, Ashley Tyrner, was allegedly upset by the development and worried about the future of his business.