Within 11 days the world is now facing a huge financial disturbance. This has so many reasons but the results is now shutting down of the international banks.
1. Silicon Valley Bank
This bank provides loans to the newly stratup persons. As the problems started this bank increases its intrest amount. By increasing the intrest rate repeatedly people stop taking loans from this bank. Later investors and depositors withdraw $40B dollar from the bank within a few hours. This makes the bank insolvent.
2. Silvergate Capital Corp
This bank invests in Crypto market . But sadly as the Crypto market dissolved this bank go to its knees. And this is the 4th American Bank and 5th International Bank after Silicon Valley Bank, Signature Bank, First Republic Bank and Credit Suisse Bank to become insolvent within 11 days.
Such banks are the pillars of the world financial market. But as such banks are sold out. The world market is at its worst situation. This situation was seen in 2008.
To overcome from such problems other Central banks are coming forward to buy such banks. This was a good step. But it won't affect the financial problems. If such problems stand for a longer period then the whole world will see it's negative outcomes.
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