[ConservativeMind]

What entity is buying the loans and investments? That must still not be know .

That money must go to the FDIC insurance fund, because the FDIC never had money set aside for anything beyond $250,000 per account.

The FDIC is getting screwed, here, to help uninsured depositors.

This is wrong. The government sees private monies and it takes them, whenever it can.

[Alberta's Child]

I think too many people are engaging in conspiratorial nonsense here. From what I could see with the numbers, SVB has more than enough reserves to pay off every depositor in full. The bank just couldn’t continue to function if it had to liquidate its reserves to make the customers whole.

It’s like a homeowner who defaults on a $400,000 mortgage. If the value of the home has declined to $300,000 by the time this happens, the bank is going to have a problem. But if the home is worth $550,000 then the bank can foreclose on the property and sell it for enough to cover all its costs and pay off the loan.