Prominent tech companies, liberal news outlets, and a Democratic politician’s vineyards are among the thousands of businesses that breathed a sigh of relief on Sunday when the Biden administration moved to bail out Silicon Valley Bank.
Silicon Valley Bank maintained $209 billion in assets and $175.4 billion in total deposits, making it the 16th-largest bank in the country. It was the second-largest bank to fail in American history when the Federal Deposit Insurance Corporation took control of the institution on Friday.
President Joe Biden has insisted that the FDIC’s move was not a bailout, and claimed his administration is working to protect “American workers and small businesses.” But average Americans won’t benefit the most from the bailout. Ninety-three percent of the bank’s depositors kept more than $250,000 in the bank.