Mar 12, 2023
VCs, Investors Unite to Support Silicon Valley Bank
As Silicon Valley Bank (SVB) winds down operations, a group of venture capitalists and investors have joined forces in a bid to cushion the impact of the bank’s collapse. Approximately 125 VCs and investors have signed a statement in support of the bank, including Sequoia Capital and General Catalyst, in order to limit the fallout of the bank’s extinction and the subsequent tech companies affected.
The venture firms met over Zoom in a series of meetings, and the statement was initially revealed by Hemant Taneja, the CEO of General Catalyst. The statement reads, “In the event that SVB were to be purchased and appropriately capitalized, we would be strongly supportive and encourage our portfolio companies to resume their banking relationships with them.”
Y Combinator, a startup incubator, has also posted a petition demanding “depositors to be made whole, and for regulation to prevent this catastrophe.” At the time of writing, the petition has been signed by 2800 founders and 180,000 employees, with 44% of them based outside of California. Y Combinator CEO Garry Tan has commented, “Everyone understands that we have a role to play in trying to calm the situation.”
Prominent Indian entrepreneur Ashneer Grover has disputed this drive to save SVB, stating that banks don’t get saved by passing bureaucratic, UN-type joint resolutions, and that it requires “intent and balls of steel!”
Hours after USD Coin (USDC) lost its peg to the US dollar, unconfirmed reports about a resolution momentarily brought back the token’s prices to nearly $1. Although the reports are currently unverified, multiple sources confirm that many different tracks to resolution are being worked on and that depositors will get back “at least 50% of their deposits” in the coming week.
The financial space has been abuzz with the news of Silicon Valley Bank’s closure, and with it the potential to open up new opportunities for the burgeoning web3 space. NFTs are gaining traction as a form of digital asset with many businesses and individuals looking to leverage them to promote their products and services.
NFT marketing is becoming increasingly popular as a way to engage with customers and drive sales. Twitter NFT marketing is particularly effective, as it allows businesses to reach a wide audience with their messages. As such, web3 agencies are popping up to help companies create and promote their NFTs, as well as to provide advice and guidance on selling them.
With the potential of Silicon Valley Bank’s collapse, investors and venture capitalists are determined to limit the fallout and ensure that tech companies are not adversely affected. As the situation continues to unfold, it remains to be seen how the web3 space will be impacted, and what new opportunities will arise from this.Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.