Analysis: How social media killed Silicon Valley Bank

The following is a guest post by web3 strategist Toby Fan, and Aly Madhavji, Managing Partner at Blockchain Founders Fund.

Social media has forever changed how we view and manage financial crises. Banks need a way to tactfully handle what is now being coined “social media risk.” Viral games of the telephone played at an exponential scale allow very little time for nuanced investigation or thoughtful reaction. By incorporating social media into overall risk frameworks, banks can help shape the narrative and public perception through pre-emptive and transparent customer engagement. Aggregation and monitoring tools are becoming increasingly important to monitor for early signs of trouble and navigate this landscape of rapid information ingestion and uncontainable spread.