It was specific at Silvergate too. Unfortunately there are far too many optimists out there managing money who chose not to play it safe. Thus, despite being idiosyncratic, it can still be a systemic problem

Why these companies didn’t issue shares at the outrageous/nosebleed valuations they were at a year ago? Truly a mystery

That's the second not systemic failure that makes the HN frontpage today.

Okay so every bank faces the same vulnerability, which is that their bond portfolio has suffered major losses

The market was made aware of how deep the losses are, as this is not usually reported in investor disclosures and the bonds are usually held to maturity thereby not being subject to losses in their notional value

ANY bank with volatility in customer deposits is vulnerable to these losses as they have to sell the bond at its current value at a big loss to cover the customer withdrawal

All due respect, nah, nope.

Today I learned that many startups park their money at one bank. I hope that isn’t true. If it is I’d be moving my funds regardless right now.

This is systemic and a direct result of the tightening. Money is literally disappearing from pockets right now. This will continue until the fed eases its policy.

Famous last words