Privatize the gains, socialize the losses. Before the government supplies anything, the wallets of those at the top of SVB should be first to be liquidated. Otherwise, it's equivalent to just randomly awarding those top guys with millions of taxpayer money. Easy scheme, honestly. Set up a bank, get some deposits, gamble it away, walk away with gains you periodically skimmed off the top. Let the government deal with the fallout.

Garry also posted this to HN and forced it to the front page, and readers roundly told him to get knotted and flagged the post: https://news.ycombinator.com/item?id=35114009

Garry is calling for a regulation. Many respondents cited the precise regulation that would have stopped this happening, which the CEO of SVB had lobbied to remove in 2018: https://www.theguardian.com/business/2023/mar/11/silicon-val...

Garry hasn't addressed those responses as yet that I've seen.

According to Bloomberg, YC was amongst the ones encouraging the bank run.

https://www.bloomberg.com/news/articles/2023-03-09/svb-ceo-b...

A VC asking gov't for more corporate welfare. The gov't owes these companies nothing. VCs & Big Tech is free to pool some of their cash reserves to make these depositors whole beyond the standard FDIC insured amount of $250K.

Where was YC when thousands of tech workers have been laid off in recent months? Where will YC be when Meta lays off the 10,000+ more they are rumored to be preparing?

It is extremely disingenuous to pretend they care about how the individual is affected. They only care right now because their investments are on the line.

Also YC seems like it should be able to muster the resources to help its companies whether this storm. Where is the rugged, exceptional individualism championed by PG and others when something bad happens?

Not without taxpayers receiving equity. And not without restrictions.

I’d like to know if the startups were forced to bank as a requirement of accepting funding. That dumb shit needs to be fixed.

With YC’s deep and broad connections in the VC, tech company, and ultra high net worth communities why doesn’t it organize a private bailout instead of asking for a handout?

Why is this flagged? Garry represents YC and his ridiculousness should not be suppressed from HN.

Seems a lot of stupid rich people (as in stupid and rich) who made their money on unfettered capitalism now want the taxpayers to pay for their mistake.

Who puts millions of dollars in bank deposits ? Especially an undiversified bank where the limit of security is $250K.

You put your money in short term treasuries and transfer what you need to pay bills. Lazy or ignorant does not mix well with large amounts of money.

Back in the day when I had a VC startup (top tier valley VC), SVB was the place you were "coached" to use, as well as which companies to buy your "services" from (needed or not). Incest never works out too well.

If the billionaires want a bailout, they can simply buy the bank and run it. Of course, they were the ones who added the kindling by encouraging people to take their money out, but now that they missed that opportunity, they are now asking for the public to bail them out.

Garry, are you going to allocate some shares of each of the companies to some public purpose in exchange for the gift you are requesting?

Now the post is flagged?

Not going to happen. Supreme court has ruled depositors as investors. The pecking order after 250K is just slightly better than unsecured loan and shareholders. Who would have though Lehmans 2.0 replay itself again.

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I ask for all the taxi drivers who were completely fucked by Uber and Lyft to be made whole:

https://www.nytimes.com/2018/12/02/nyregion/taxi-drivers-sui...

I ask for VC funded delivery services to stop stealing tips from gig workers:

https://www.nbcnews.com/business/business-news/why-instacart...

I’d also like to see social media held accountable for the harms done to children and communities and for our existing laws against anti-competitive behavior and collusion to be enforced against search and software platforms.

The chutzpah of the Silicon Valley influencer crowd over this weekend has become seriously fucking unbearable.

My feeds are full of sociopathic libertarians calling for government to make sure they never suffer any consequences for their failure to adequately manage risk? I mean GTFO.

I’m all for regulation and I in fact do think the government should be heavily involved in preventing this kind of thing and helping if it ends up happening.

But if we’re going to regulate let’s fucking regulate. Any answer to this tweet should start with a quick review of this guy and his friends campaign contributions and lobbying involvement.

There’s nothing special about you. Your lives aren’t more important than the lives of the children of employees at the Carrier plant in Indianapolis, or the workers at the Amazon faculty on Staten Island.

If your values system only applies to you and your friends it’s not much of a values system.

[dead]

Ridiculous Shameful