Why did SVB shut down?

By Friday morning, trading in SVB shares was halted and it had abandoned efforts to quickly raise capital or find a buyer. California regulators intervened, shutting the bank down and placing it in receivership under the Federal Deposit Insurance Corporation.

Why did SVB stock crash?

That triggered a panic among key venture capital firms, who reportedly advised companies to withdraw their money from the bank. The company’s stock cratered on Thursday, dragging other banks down with it. By Friday morning, SVB’s shares were halted and it had abandoned efforts to quickly raise capital or find a buyer.

Why did SVB fall?

SVB’s sudden fall mirrored other risky bets that have been exposed in the past year’s market turmoil. Crypto-focused lender Silvergate said Wednesday it is winding down operations and will liquidate the bank after being financially pummeled by turmoil in digital assets.