So... the summary is that for all the fear some people had that taxpayers would "bail out billionaires," and the corresponding fear that companies had that "a ton of our money could evaporate and destroy the economy with massive downstream impact"... FDIC/Treasury stepped in and did the right thing: depositors made whole, no taxpayer funds, bank assessment to make up any difference, & SVB equity/unsecured debtholders (mostly) wiped out.

A very good result.

@mmasnick god, I hope some very online VC types took a bath though.
@mquirion @mmasnick Oh they will. That may be the funniest part of this gambit from the VCs.
@mquirion they weren’t ever going to, they didn’t have much exposure, that’s not how VC works.
@matt eh, I suspect a number of them were pretty heavy shareholders of SVB. Hence the pushing of portfolio companies to the bank and hence the calls from many for a recapitalization.
@mquirion maybe some but most weren’t, SVB offered genuinely better and easier to acquire financial services for startups than larger banks.
@matt @mquirion a lot of venture funded startups were at risk so the VCs win...of course
@pshread that’s true, but VCS weren’t short on cash, most have hardly deployed in six months, the startups that were most likely to succeed would have gotten fresh funding, more ownership for the VCs at lower cost!
@mquirion OK, I give. What's a VC?🙄
@PDFlynn @mquirion the investors who fund startups

@PDFlynn @mquirion VC= venture capitalist

See for example Sequoia Capital

https://en.wikipedia.org/wiki/Sequoia_Capital

Sequoia Capital - Wikipedia

@Voline OK, but are they like investors? I mean, investment firms or something?