"SVB Collapse Sparks Federal Investigations and Criticism"

1 min read
Source: The New York Times
"SVB Collapse Sparks Federal Investigations and Criticism"
Photo: The New York Times
TL;DR Summary

The collapse of Silicon Valley Bank has led to a review of how the Federal Reserve oversees financial institutions, potentially resulting in stricter rules for large regional banks that are not considered globally systemic. Lawmakers and financial regulation experts are questioning whether existing rules are sufficient in a changing world and whether a deregulatory push during the Trump administration went too far. The episode could lead to regulatory and supervisory changes for smaller banks that face lighter regulations than the largest ones. The call for tougher bank rules echoes the aftermath of 2008, which led to the Dodd-Frank law in 2010.

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