Social Media-Powered Bank Runs Like Silicon Valley Bank Will Make It Harder To Avoid Repeating History

There’s no equating last week’s Silicon Valley Bank crisis and subsequent fallout with any moment in history. But that doesn’t mean we aren’t facing down the barrel of a potential contagious banking crisis like we did in 2008 or 1930.

Rescuing uninsured depositors is absolutely imperative to stem a market-wide impact. However, immediate actions taken by regulators fall short of solving the root problems here: crumbling, opaque infrastructure that fails startups, small business owners employing nearly 50% of America’s workers, and retail again and again—and a nagging sense of panic that spread like wildfire across social media and group chats.