Silicon Valley Bank collapses in the biggest US bank failure since 2008

California regulators have closed Silicon Valley Bank and placed it under the control of the Federal Deposit Insurance Corporation (FDIC). It is the largest US bank failure since the 2008 financial crisis.

SVB was one of the main banks for technology start-ups and venture funds. After it announced losses on the sale of bonds, customers tried to withdraw about 42 billion dollars in a single day.

Insured deposits of up to 250,000 dollars will be available to customers. However, most of the money held at the bank exceeded this limit.

The news hit bank shares worldwide. Many start-ups, including those with development teams in Armenia, are checking whether they will be able to pay staff on time.