In a shocking turn of events, Silicon Valley Bank, a popular bank among the tech industry with offices in New York City, failed today.
This is the largest bank failure since the financial crisis of 2008.
Customers were left panicked as they arrived to find the bank closed and the NYPD responding to a 9-1-1 call from upset clients trying to withdraw their cash.
The high interest rates of the bank left many with less cash on hand, forcing them to withdraw more to make their expenses.
The bank’s stock plunged as customers started pulling their money out.
While panic spread on Wall Street, experts say that this is not an economy-wide problem and that reforms put in place after the 2008 crisis provide more resilience to our banking system.
