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US bank taken over in biggest failure since 2008
11 months, 3 weeks ago

TLDR: Silicon Valley Bank, a key tech lender, has been shut down by US regulators, who have taken control of its customer deposits. The bank had been struggling to raise funds to plug a loss caused by the sale of assets affected by higher interest rates, prompting a rush of customer withdrawals and sparking fears about the state of the banking sector. The Federal Deposit Insurance Corporation has taken charge of roughly $175bn in deposits held at the bank, while money raised from selling the bank’s assets will go to uninsured depositors. The move has raised concerns about the wider risks facing banks as rapid increases in interest rates hit bond markets.