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SVB collapse is a blight on US regulators

America’s state-based banking regulation system tries to balance innovation and easy credit, relegating prudential supervision to an afterthought.

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Everything you need to know about the weaknesses in the regulation of the collapsed Silicon Valley Bank is the title of its primary state-based regulator – the California Department of Financial Protection and Innovation.

Yes, the government entity charged with protecting the deposits in this $US212 billion ($320 billion) financial institution has a mandate to promote innovation in the California economy.

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Tony Boyd is the former Chanticleer columnist. He has more than 35 years' experience as a finance journalist. Connect with Tony on Twitter. Email Tony at tony.boyd@afr.com

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    Original URL: https://www.afr.com/chanticleer/svb-collapse-is-a-blight-on-us-regulators-20230313-p5crk3