After the collapse of Silicon Valley Bank, the 16th largest bank in the United States, many companies — mainly from the tech industry — have disclosed their exposure to the bank.

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According to The Kobeissi Letter, Circle holds $3.3 billion, Roku $487 million, BlockFi $227 million, Roblox $150 million, Ginkgo Bio $74 million, iRhythm $55 million, Rocket Lab $38 million, Sangamo Therapeutics $34 million, Lending Club $21 million and Payoneer and $20 million, in deposits.

CNBC reported that SVB had roughly $209 billion in total assets and $175.4 billion in total deposits as of the end of December. The Federal Deposit Insurance Corporation (FDIC) said it was unclear what portion of those deposits were above the insurance limit.

Also Read: Elon Musk is open to the idea of buying Silicon Valley Bank

California-based SVB was closed on Friday by the California Department of Financial Protection and Innovation which later appointed the FDIC as its receiver.

The FDIC, in a statement, said as of December 31, 2022, the Silicon Valley Bank had approximately $209.0 billion in total assets and about $175.4 billion in total deposits.

At the time of closing, the number of deposits in excess of the insurance limits was undetermined. The number of uninsured deposits will be determined once the FDIC obtains additional information from the bank and customers.

Over the past several years, SVB has been one of the most preferred choices of banking for startups and the tech industry in Silicon Valley, mainly because of its understanding of the industry and flexibility in many aspects suiting the startup ecosystem.

Also Read: Silicon Valley Bank collapse: US Treasury monitoring a 'few banks very carefully'

Given that every third startup in Silicon Valley is founded by Indian Americans, experts feel a significantly large number of these founders would be impacted as early as next week in terms of even making basic payments and giving paychecks to their employees.

Similarly, a large number of Indian startups which do not have even an employee or an office in the US had opened up their accounts in the Silicon Valley Bank as it let them do so without many regulatory questions and with a customer-friendly approach.

First Published:Mar 12, 2023 5:01 PM IST