Circle and Sequoia Capital Top SVB Depositors

A report from Bloomberg reached out to the companies that have invested the most in Silicon Valley Bank.

Bloomberg’s report revealed the companies that have invested the most in the failing Silicon Valley Bank (SVB). These companies include Circle and Squoia Capital.

Top Depositors Reached to SVB

According to the Bloomberg report, companies such as Circle and Sequoia Capital are among the top depositors within Silicon Valley Bank (SVB). According to the report, which is based on documents related to the collapse of the SVB in March, billions of dollars of deposits of companies such as Circle and Sequoia were covered by the FDIC (Federal Deposit Insurance Corporation).

After the collapse of the SVB, the Federal Reserve announced that it would cooperate with the FDIC to protect both insured and uninsured depositors. It is stated that Circle has approximately $ 3.3 billion in deposits and Sequoia has approximately $ 1 billion in deposits.

The collapse of the SVB and the subsequent bankruptcy of Signature Bank shed light on the way US regulators handle deposit insurance. Although the Federal Reserve, the FDIC and the Treasury Department have stated that they consider SVB and Signature deposits under the systematic risk exemption, they are reportedly looking to increase the insurance limit.

With the collapse of the SVB, Circle confirmed that it had about $3.3 billion in risk with the bank and briefly stopped pegging USD Coin to the US dollar. But in June, stablecoin issuer Arbitrum announced plans to launch a native version of USDC on its network.