Study Finds Hundreds of US Banks at Risk of Collapse Due to Uninsured Deposits

A new study has found that 186 banks across the US could be at risk of failing if half of their depositors quickly withdraw their funds, due to the value of the assets they hold. Many of these banks hold their depositors' cash in long-term assets like bonds and mortgages, which have dropped in value as the Federal Reserve hiked interest rates over the past year. This vulnerability was highlighted by the recent troubles of Silicon Valley Bank, which saw a run on deposits after it suffered a $2bn loss due to the value of its long-term government bonds dropping.