Roku Had One-Fourth Of Its Cash In Failed Silicon Valley Bank, Most Of It Uninsured; Streaming Giant Says It Can Still Meet Expenses

[Y2kTheNewOldies]

https://deadline.com/2023/03/roku-cash-failed-silicon-valley-bank-streaming-1235285439/#recipient_hashed=2ec9ce834f7dfcbd8366c088aae71c4495ea058de393aaa911e79a0a64eaa988&recipient_salt=1647efd76c5fdce2b562fb95bdf916387b7d2ea6936a1d5940c4336463521675

Yes Fears of another 2008 crash is at play here. Lets hope the 2008 event does not repeat itself.

The biggest bank failure since the financial crisis more than 15 years ago has hit streaming giant Roku.

In an SEC filing Friday, the company disclosed that 26% of its cash was held at Silicon Valley Bank, and the funds were “largely uninsured.” The 16th largest bank in the U.S., with more than $200 billion in assets, SVB collapsed earlier in the day and was taken over by the Federal Deposit Insurance Corp. It ranks as the second-largest bank failure in U.S. history after Washington Mutual in 2008.

Roku’s filing says the FDIC has told those with insured funds at the bank that they will have full access to their insured deposits no later than Monday morning. Uninsured depositors, meanwhile, will receive an “advance dividend” over the next week. “Uninsured depositors will receive a receivership certificate for the remaining amount of their uninsured funds,” according to the filing. “As the FDIC sells the assets of SVB, future dividend payments may be made to uninsured depositors.”

 

[Y2kTheNewOldies]

Silicon Valley Bank's downfall could herald a 10% plunge in US stocks and a recession, senior analyst says

SVB's dramatic collapse may signal the Fed's interest-rate hikes are starting to squeeze companies, Evercore ISI's Julian Emanuel said.

markets.businessinsider.com

Rumors of another recession is at play here since the 2008. Yes there was another recession in 2020 over COVID-19 Emergency orders all over the USA. This comes as Silicon Valley Bank gets taken over by the FDIC over the lead up to the crash.

How 2023 Recession Will Differ From 2008 and How You Should Prepare Differently

The hyperinflation of the early 1980s provided a blueprint for the Fed's action today. To cool an overheated economy, the Fed raises interest rates and tightens the money supply. That causes economic...

finance.yahoo.com

Opinion: Prepare now for coming recession

The key is to start planning and taking steps to address it now, before it actually...

www.sfgate.com

 

[Y2kTheNewOldies]

Shareholders sue New York-based Signature Bank, 3 former top executives

Shareholders sued Signature Bank and three of its former top executives Tuesday, alleging the New York bank declared itself financially healthy in the days before it was seized by state regulators.

abc7ny.com

Here is more on the Recession fears again.

 

[Y2kTheNewOldies]

Silvergate and Silicon Valley Bank show the risks of banks concentrating in one area

Crypto was at an unfortunate confluence of events this week, which could mean heightened regulatory scrutiny. The industry isn't the problem, though.

www.cnbc.com

Here is more.