A quote from twitter, is this true?
2008: 25 banks with $373 billion in combined assets failed
2023: 2 banks with $319 billion in combined assets failed
Hundred of bank closure, higher bar to starting De Novo banks, and 14 years of Quantitative Easing means a LOT more assets have been siloed in fewer institutions.
The difference is 2008 was due to speculative asset bubble finally popping
I'm not sure that's a difference. The core problem seems to be that the value assets acquired during the COVID years are falling rapidly as interest rates rise.
What were the assets that SVB invested in that went down causing them to lose so much money they couldn’t cover deposits?