The tragic and shocking demise of SVB and bailout of its depositors is a watershed, “Too Big to Fail” event for Silicon Valley that will reverberate for years to come, if not longer, bringing significant new challenges to the industry in both the short and long term.
For the small but critically important world of startups and venture capital, things have gone from bad to worse. After a year of upheaval—plummeting stock valuations, dormant M&A and IPO markets, and massive layoffs—the tech industry now bears the indignity of losing a cherished institution that nearly sparked a national financial panic.
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