US Banking System at Risk: SVB Analysis Identifies 186 Vulnerable Banks.
A recent analysis by economists revealed that nearly 190 banks operating in the United States are at potential risk of a run due to a large share of uninsured deposits and the recent rise in interest rates, which brought down the U.S. banking system’s market value of assets by $2 trillion. The collapse of Silicon Valley Bank (SVB) served as a reminder of the fragility of the traditional financial system. The report explains that a bank is considered insolvent if the mark-to-market value of its assets is insufficient to repay all insured deposits.