First Citizens Bank acquired failed SVB, stabilizing its operations and calming market concerns.
FDIC-approved takeover sees First Citizens Bank assume control of Silicon Valley Bank's loans and deposits.
The US
Federal Deposit and Insurance Corporation (FDIC) has approved North Carolina-based
First Citizens Bank's takeover of all loans and deposits from the failed
Silicon Valley Bank (SVB). All 17 branches of the institution that triggered
the global banking crisis in March opened as First Citizens Bank and Trust Company
on Monday, and customers have been automatically transferred with their
deposits.
Silicon Valley Bank Acquired
by First Citizens Bank
Following the closure of Silicon Valley Bank by the California Department of Financial
Protection and Innovation, the FDIC established Silicon Valley Bridge Bank,
National Association, to stabilize the institution and market the franchise.
The FDIC
projects that the collapse of Silicon Valley Bank will incur a cost of around
$20 billion for its Deposit Insurance Fund (DIF). The precise amount will be
ascertained once the FDIC concludes the receivership process.
As of 10
March 2023, SVB had approximately $167 billion in total assets and around $119
billion in total deposits. The acquisition included the purchase of about $72
billion of the bank's assets at a $16.5 billion discount. The FDIC will dispose
of the remaining $90 billion in securities and other assets in the
receivership. Moreover, the FDIC received equity appreciation rights in First
Citizens BancShares, Inc., with a potential value of up to $500 million.
A
loss-share transaction was agreed upon between the FDIC and First-Citizens Bank
& Trust Company for commercial loans purchased from the former Silicon
Valley Bridge Bank. Both parties will share losses and potential recoveries on
loans covered by the loss-share agreement. This arrangement is expected to
maximize asset recoveries by maintaining them in the private sector, minimize
disruptions for loan customers, and allow First-Citizens Bank & Trust
Company to assume all loan-related Qualified Financial Contracts.
Although
the situation surrounding SVB is beginning to stabilize and the bank is
returning to normal operations, its closure sent a wave of immense concern
through the market and led to instability in the banking sector.
This
resulted in a record slump in Swiss lending giant Credit Suisse shares, which UBS subsequently acquired in a transaction worth CHF 3 billion. UBS
agreed to take on $5.4 billion in losses generated by the troubled institution.
Just when
it seemed that the crisis might end, alarming news began to
emerge from Deutsche Bank last Friday with its shares on the German stock
exchange falling by 15% and testing the EUR 8 level, which is the lowest since October and
the strongest since the first days of panic due to the pandemic in 2020.
Deutsche Bank Shares. Source: Yahoo Finance
The move
took place after the publication of information that the lender plans to
repurchase debt, which is usually seen as a sign of market strength.
Therefore,
analysts had a significant problem explaining the discount, and according to
Citigroup, it was irrational.
The US
Federal Deposit and Insurance Corporation (FDIC) has approved North Carolina-based
First Citizens Bank's takeover of all loans and deposits from the failed
Silicon Valley Bank (SVB). All 17 branches of the institution that triggered
the global banking crisis in March opened as First Citizens Bank and Trust Company
on Monday, and customers have been automatically transferred with their
deposits.
Silicon Valley Bank Acquired
by First Citizens Bank
Following the closure of Silicon Valley Bank by the California Department of Financial
Protection and Innovation, the FDIC established Silicon Valley Bridge Bank,
National Association, to stabilize the institution and market the franchise.
The FDIC
projects that the collapse of Silicon Valley Bank will incur a cost of around
$20 billion for its Deposit Insurance Fund (DIF). The precise amount will be
ascertained once the FDIC concludes the receivership process.
As of 10
March 2023, SVB had approximately $167 billion in total assets and around $119
billion in total deposits. The acquisition included the purchase of about $72
billion of the bank's assets at a $16.5 billion discount. The FDIC will dispose
of the remaining $90 billion in securities and other assets in the
receivership. Moreover, the FDIC received equity appreciation rights in First
Citizens BancShares, Inc., with a potential value of up to $500 million.
A
loss-share transaction was agreed upon between the FDIC and First-Citizens Bank
& Trust Company for commercial loans purchased from the former Silicon
Valley Bridge Bank. Both parties will share losses and potential recoveries on
loans covered by the loss-share agreement. This arrangement is expected to
maximize asset recoveries by maintaining them in the private sector, minimize
disruptions for loan customers, and allow First-Citizens Bank & Trust
Company to assume all loan-related Qualified Financial Contracts.
Although
the situation surrounding SVB is beginning to stabilize and the bank is
returning to normal operations, its closure sent a wave of immense concern
through the market and led to instability in the banking sector.
This
resulted in a record slump in Swiss lending giant Credit Suisse shares, which UBS subsequently acquired in a transaction worth CHF 3 billion. UBS
agreed to take on $5.4 billion in losses generated by the troubled institution.
Just when
it seemed that the crisis might end, alarming news began to
emerge from Deutsche Bank last Friday with its shares on the German stock
exchange falling by 15% and testing the EUR 8 level, which is the lowest since October and
the strongest since the first days of panic due to the pandemic in 2020.
Deutsche Bank Shares. Source: Yahoo Finance
The move
took place after the publication of information that the lender plans to
repurchase debt, which is usually seen as a sign of market strength.
Therefore,
analysts had a significant problem explaining the discount, and according to
Citigroup, it was irrational.
Damian's adventure with financial markets began at the Cracow University of Economics, where he obtained his MA in finance and accounting. Starting from the retail trader perspective, he collaborated with brokerage houses and financial portals in Poland as an independent editor and content manager. His adventure with Finance Magnates began in 2016, where he is working as a business intelligence analyst.
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How FYNXT is Transforming Brokerages with Modular Tech | Executive Interview with Stephen Miles
How FYNXT is Transforming Brokerages with Modular Tech | Executive Interview with Stephen Miles
Join us for an exclusive interview with Stephen Miles, Chief Revenue Officer at FYNXT, recorded live at FMLS:25. In this conversation, Stephen breaks down how modular brokerage technology is driving growth, retention, and efficiency across the brokerage industry.
Learn how FYNXT's unified yet modular platform is giving brokers a competitive edge—powering faster onboarding, increased trading volumes, and dramatically improved IB performance.
🔑 What You'll Learn in This Video:
- The biggest challenges brokerages face going into 2026
- Why FYNXT’s modular platform is outperforming in-house builds
- How automation is transforming IB channels
- The real ROI: 11x LTV increases and reduced acquisition costs
👉 Don’t forget to like, comment, and subscribe.
#FYNXT #StephenMiles #FMLS2025 #BrokerageTechnology #ModularTech #FintechInterview #DigitalTransformation #FinancialMarkets #CROInterview #FintechInnovation #TradingTechnology #IndependentBrokers #FinanceLeaders
Join us for an exclusive interview with Stephen Miles, Chief Revenue Officer at FYNXT, recorded live at FMLS:25. In this conversation, Stephen breaks down how modular brokerage technology is driving growth, retention, and efficiency across the brokerage industry.
Learn how FYNXT's unified yet modular platform is giving brokers a competitive edge—powering faster onboarding, increased trading volumes, and dramatically improved IB performance.
🔑 What You'll Learn in This Video:
- The biggest challenges brokerages face going into 2026
- Why FYNXT’s modular platform is outperforming in-house builds
- How automation is transforming IB channels
- The real ROI: 11x LTV increases and reduced acquisition costs
👉 Don’t forget to like, comment, and subscribe.
#FYNXT #StephenMiles #FMLS2025 #BrokerageTechnology #ModularTech #FintechInterview #DigitalTransformation #FinancialMarkets #CROInterview #FintechInnovation #TradingTechnology #IndependentBrokers #FinanceLeaders
Executive Interview | Charlotte Bullock | Chief Product Officer, Bank of London | FMLS:25
Executive Interview | Charlotte Bullock | Chief Product Officer, Bank of London | FMLS:25
In this interview, we sat down with Charlotte Bullock, Head of Product at The Bank of London, previously at SAP and now shaping product at one of the sector’s most ambitious new banking players.
Charlotte reflects on the Summit so far and talks about the culture inside fintech banks today. We look at the pressures that come with scaling, and how firms can hold onto the nimble approach that made them stand out early on.
We also cover the state of payments ahead of her appearance on the payments roundtable: the blockages financial firms face, the areas that still need fixing, and what a realistic solution looks like in 2026.
In this interview, we sat down with Charlotte Bullock, Head of Product at The Bank of London, previously at SAP and now shaping product at one of the sector’s most ambitious new banking players.
Charlotte reflects on the Summit so far and talks about the culture inside fintech banks today. We look at the pressures that come with scaling, and how firms can hold onto the nimble approach that made them stand out early on.
We also cover the state of payments ahead of her appearance on the payments roundtable: the blockages financial firms face, the areas that still need fixing, and what a realistic solution looks like in 2026.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
