Abstract

The collapse of Silicon Valley Bank (SVB) in March 2023 marked one of the most significant bank failures since the 2008 global financial crisis and has become a focal point for scholars regulators and policymakers who study systemic risk and financial stability. This research paper examines the historical evolution of SVB its business model its depositor profile and the underlying structural vulnerabilities that contributed to its rapid downfall. The study highlights how liquidity mismanagement disproportionate reliance on uninsured deposits interest-rate sensitivity regulatory gaps and failure of proactive supervisory intervention created a fragile financial environment. By analysing the sequence of events leading to SVB’s collapse the paper identifies broader implications for banking regulation risk-management practices macroprudential oversight and central-bank intervention frameworks. The research also integrates global perspectives to evaluate how rising interest rates post-pandem