[wmf]

SVB and Signature bank that have both collapsed in terms of $300 billion

This is not correct. SVB, for example, owes depositors ~$150B but they also have assets of almost $150B. The hole that FDIC needs to fill in may be less than $10B; it may even be zero.

[firstlink]

This has been repeated ad nauseam but it does not pass the smell test. If SVB were solvent then it would not be in receivership.

[evan_]

It’s a cash flow issue. Cash flow kills plenty of profitable businesses.

[hd95489]

It’s a true solvency issue. They could have announced this before the bank collapsed and it still would have collapsed eventually because assets were less than liabilities

[j16sdiz]

The rules was setup that FIDC can take over when they smell something wrong before it is proven true insolvent.