Here’s who is paying to restore Silicon Valley, Signature Bank deposits

[mystery-ak]

 Here’s who is paying to restore Silicon Valley, Signature Bank deposits
by Tobias Burns - 03/13/23 6:02 PM ET

excerpt:

Where the money comes from

The money in the DIF comes from insurance premiums that banks are required to pay into it as well as interest earned on funds invested in U.S. bonds and other securities and obligations.

This is why some observers have been saying that the term “bailout” shouldn’t be used in reference to the current government intervention — because it’s bank money plus interest that’s being used to insure depositors, and it’s only being administered by the federal government.

But standing behind the DIF is the “the full faith and credit of the United States government,” according to the FDIC, meaning that if the DIF runs out of money or encounters a problem, the Treasury could call on taxpayers as a next resort.

This is not an impossibility. The DIF had a $125 billion balance as of the last quarter of 2022 and SVB reported $212 billion in assets in the same quarter. Treasury officials sounded confident on Sunday night the money in the DIF would be more than enough to cover SVB’s deposits.

more
https://thehill.com/business/3898423-heres-who-is-paying-to-restore-silicon-valley-signature-bank-deposits/

[Cyber Liberty]

A whole lotta words from The Shill, distilling down to "we're hitting the middle class to pick up the tab."

[Hoodat]

The DIF had a $125 billion balance as of the last quarter of 2022 and SVB reported $212 billion in assets in the same quarter. Treasury officials sounded confident on Sunday night the money in the DIF would be more than enough to cover SVB’s deposits.

This is a sick joke.   The entirety of the $125 billion balance is made up of Treasury notes.  Yep, that's right.  All they have is a $125 billion IOU from the federal government.  No tangible assets.  No holdings.  Just a great big IOU.