Wolters Kluwer Compliance Solutions Shares Insights in Response to Silicon Valley Bank and Signature Bank Collapse

Washington, DC — March 21, 2023 — In the wake of the recent collapse of Silicon Valley Bank (SVB) and Signature Bank—and subsequent banking industry developments in the U.S. and elsewhere—markets and the public should be reassured by the response of federal regulators to cover depositors and to help maintain confidence and stability in the resilient U.S. banking system amid challenging economic times. That’s according to a senior regulatory compliance expert at Wolters Kluwer Compliance Solutions.

“Identifying the root causes leading to the collapse of Silicon Valley Bank and Signature Bank is still very much a work in progress. Significant, meaningful efforts are underway in the federal government to comprehensively investigate and review these failures and help avert additional problems,” said Timothy Burniston, Senior Advisor, Regulatory Strategy for Wolters Kluwer Compliance Solutions. “However, what we can point to in the early days of these developments is that regulators and major banks are collectively working to stem further losses and instill confidence.”

Federal regulators moved promptly following the failures of SVB and Signature to ensure that customers were able to access all of their deposits, beyond the $250,000 insured by the Federal Deposit Insurance Corporation. First Republic Bank, meanwhile, received $30 billion in deposits from 11 major banks as part of an effort to support that institution.