Maxfield on Banks

Maxfield on Banks

THE ORIGINAL SIN OF SILICON VALLEY BANK

How one decision triggered a bank run.

John Maxfield's avatar
John Maxfield
Mar 24, 2023
∙ Paid
45
3
1
Share

You can trace the mayhem in banking right now back to something akin to a modeling error.

The ground for the error was laid in early 2020, when Silicon Valley Bank was overtaken by a deluge of deposits flooding in from the government’s response to the coronavirus pandemic. The bank’s deposits tripled over the next two years, climbing from $61 billion at …

Keep reading with a 7-day free trial

Subscribe to Maxfield on Banks to keep reading this post and get 7 days of free access to the full post archives.

Already a paid subscriber? Sign in
© 2025 John Maxfield
Privacy ∙ Terms ∙ Collection notice
Start writingGet the app
Substack is the home for great culture