The sudden collapse of Silicon Valley Bank on Friday has sent panic through the technology industry. Officials and investors of crypto companies, which have been in decline for almost a year, have started preaching and targeting on this occasion. Crypto proponents blame the centralized banking system for this. Government regulators taking action against crypto companies, they argue, have sown the seeds of bank collapse. Our dream of an alternative financial system different from the big banks is better.
Erik Voorhees of crypto company Aptos Labs says, this is an opportunity to decentralize the financial system for a while. But the tone quickly changed when a major crypto company revealed that it had hundreds of millions of dollars locked up in a Silicon Valley bank. The fall in the value of the so-called stable coin caused a stir in the market. Some technology investors say that the collapse of crypto companies has caused panic.