Silicon Valley Bank catered largely to tech, but crypto companies were caught in the collapse

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State regulators took over Silicon Valley Bank on Friday, putting the funds of many startups out of reach, including several crypto companies.

The bank catered largely to clients in tech and venture capital, and its failure is being billed as the biggest bank collapse since Washington Mutual Bank in 2008. While on Sunday a joint statement by the Federal Reserve, the Treasury Department, and the Federal Deposit Insurance Corp. assured that all SVB depositors would get their money back, many frantically tried to shore up their cash reserves from other sources this weekend.

Many crypto companies have already disclosed exposure to Silicon Valley Bank. Here's what we know so far:


The Avalanche Foundation said in a tweet on Friday that it had $1.6 million in Silicon Valley Bank. The foundation, which helps operate the Avalanche blockchain, said it “is saddened by the news about SI and SIVB, and hope that all depositors are made whole.”


The embattled digital asset lender disclosed in a filing last week that it had $227 million tied up in Silicon Valley Bank. The money is not FDIC insured because it is in a money market mutual fund, according to a tweet from New York Times reporter Lauren Hirsch. A lawyer for the company, which declared bankruptcy last year, said in a bankruptcy hearing Monday that the company has access to enough cash for the business to survive, and is “fine,” Bloomberg reported.


Circle, creator of the second-largest stablecoin, USDC, said over the weekend that $3.3 billion of the around $40 billion it has in reserves to back the stablecoin was in Silicon Valley bank.

The news caused USDC to depeg from the the dollar, falling to a low of about 87 cents before regaining its peg on the news that the government would backstop deposits.

On Sunday night, Circle confirmed in a statement that the billions locked up in SVB were safe. The USDC stablecoin was back to trading at around 99 cents as of Monday.


The crypto-focused venture capital firm Pantera was using Silicon Valley Bank as a custodian, according to a regulatory filing from last month, CoinDesk reported. The firm raised $1.3 billion for a blockchain fund last year and planned to raise more this year, according to Decrypt.


The members-only NFT community behind the successful project Moonbirds said that it held cash at SVB, but didn't disclose how much. The Proof collective, founded by Kevin Rose and Justin Mezzell, added that it had diversified holdings that also included Ether and stablecoins, according to a Friday tweet.

“While this news sucks, it doesn’t affect your wallet or our roadmap,” the Proof Collective wrote.


Ripple CEO Brad Garlinghouse said in a Sunday tweet that the company had some exposure to SVB without saying how much. The executive said he expected no disruption to business and added that Ripple “already held a majority of our USD w/ a broader network of bank partners.”

Yuga Labs

The company behind the popular NFT collection Bored Ape Yacht Club also has “super limited financial exposure,” to SVB, according to a discord message from founder Greg Solano. He added that having funds with the failed bank “doesn’t impact our business or plans in any way,” according to a screenshot of the discord message.

A spokesperson for Yuga Labs confirmed the authenticity of the discord message but declined to comment further.

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