Silicon Valley Bank

In a related action, the government shut down Signature Bank, a regional bank that was teetering on the brink of collapse in recent days, CNN reported. Signature's customers will receive a similar deal, ensuring that even uninsured deposits will be returned to them on Monday. In a joint statement, Treasury Secretary Janet Yellen, Federal Reserve Chair Jerome Powell and Federal Deposit Insurance Corporation Chairman Martin J. Gruenberg said the FDIC will make SVB and Signature's customers whole.

The Federal Deposit Insurance Corporation (FDIC) took control of Signature Bank, which had over $110 billion in assets and almost $89 billion in deposits as of the end of last year. However, the U.S. Treasury Department and other bank regulators were quick to assure depositors that they would be fully reimbursed and that no losses would be borne by taxpayers.

"During the financial crisis, there were investors and owners of systemic large banks that were bailed out," Yellen said in an interview, CBS News reported. "And the reforms that have been put in place means that we're not going to do that again. But we are concerned about depositors and are focused on trying to meet their needs."

To further bolster and support the ecosystem, Recur Club will not charge any platform fees. "This incident tells us about the criticality of diversification, be it customers, banking, or investors in a business. Recur Club has received interest from more than 100 startups regarding immediate Payroll financing and managing short-term expenses," said Eklavya Gupta co-Founder, Recur Club.

Scores of customers flooded the SVC Bank -- earlier known as 'Shamrao Vithal Cooperative Bank' -- wanting to know the status and safety of their deposits. Hoping to allay their clients' apprehensions, the SVC Bank issued a statement late on Saturday pointing to the case of a 'mistaken' identity and clarifying that it had no links with the SVB, USA, and even threatened legal action against mischief mongers.

The Treasury said it wanted to "minimise damage to some of our most promising companies in the UK" after the US bank's failure last Friday, BBC reported. US regulators shut down the bank on Friday in what is the largest failure of a US bank since 2008. The bank's UK subsidiary will be put into insolvency from Sunday evening, BBC reported.

Prior to joining SVB as Chief Administrative Officer, Gentile worked as Chief Financial Officer at Lehman Brothers' Global Investment Bank. Gentile left Lehman in 2007, just one year before it went bankrupt in 2008, Fox Business reported. "You can't make this up," one Twitter user wrote as the internet erupted at the revelation.

The bank's collapse is going to impact several startups in India which have exposure to its investments and have parked their funds in the bank. "The @SVB_Financial closure is certainly disrupting startups across the world. Startups are an important part of #NewIndia Economy," Chandrasekhar said in a tweet.

Over 1,200 CEOs and founders representing over 56,000 employees have already signed the petition, written by Garry Tan, CEO and President of Y Combinator, to save startups and hundreds of thousands of jobs. "We ask for relief and attention to an immediate critical impact on small businesses, startups, and their employees who are depositors at the bank," read the petition.

CEO Greg Becker offloaded over $3.5 million worth of stocks - which amounted to nearly 12,500 shares - in a pre-planned, automated sell-off on February 27, according to a US Securities and Exchange Commission filing, the New York Post reported. That same day, the bank's third-in-command CFO Daniel Beck sold $575,180 in stocks, Newsweek reported.