from the attached article...
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The third lesson we can draw from S.V.B.’s collapse is that bank regulation works. As soon as it was clear on Friday that S.V.B. was going under, the Federal Deposit Insurance Corporation did what it always does when a bank fails — it swooped in, took over and started trying to make the bank’s customers whole. As a result, S.V.B. customers who had $250,000 or less deposited in insured accounts will be able to access those funds quickly. With any luck, a big bank will subsume the old S.V.B. seamlessly, make its larger depositors whole, and there will be no domino effect — no taxpayer bailouts, no mass start-up failures, just a simple and orderly bank failure.
In recent years, a certain set of tech leaders disparaged regulators and government officials as slow, corrupt and a drag on innovation. (Some of these same leaders begged for government bailouts on Friday.)
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Link: https://www.nytimes.com/2023/03/11/technology/silicon-valley-bank-failure-lessons.html?searchResultPosition=5