[pookeh]

Can someone explain me this…they used people’s money to invest in bad securities? How is this different from criminal behaviour of FTX?

[ibains]

are you serious? they invested in US Treasuries, the highest rated and the most conservative asset class.

Banks are in the business of lending money to home buyers, etc - how is loaning to the US Govt. criminal?

They have a cash crunch due to interest rate rise, and VC slowdown - bad risk management, but everything is above board.

Startup lines of credit should not happen from deposits, too risky an asset class

[pookeh]

Your didn’t answer my question. If I had an account in SVB, and I put a 100k in it, why would SVB take my 100k and invest it? That was the whole issue with FTX. Investing it whatever asset class, my money shouldn’t have been invested unless I give permission to SVB period.