The answer is that the Fed is not the lender of last resort for securities firms or banks; it is the lender of last resort for depository institutions, and it has no such authority for nonbank financial institutions. Silicon Valley bank had to sell bonds to raise money. The bond prices have dropped as inflation rose. The bank had to report the loss of $1.8 billion on their books. The depositors feared the bank would not raise fund fast enough and panicked --- Send in a voice message: https://podcasters.spotify.com/pod/show/david-nishimoto/message