US Banks Shift Perception of Social Media from Marketing Tool to Threat.
US banks are rethinking social media's role as a potential risk rather than a marketing tool, after tweets questioning Silicon Valley Bank's financial health prompted nervous customers to pull $1 million per second from their accounts before the bank failed on March 10. Bankers are beefing up risk management, monitoring, and emergency procedures around the use of social media to prevent depositors from sparking a bank run or stop online attacks on their shares by short sellers. Lenders are taking action, rethinking social media's role as a potential risk rather than marketing tool, after tweets questioning SVB's financial health prompted nervous customers to pull $1 million per second from their accounts before the bank failed on March 10.