bankSVB’s Downfall: A Moral Dilemma for the Bank Industry — Kant and Nietzsche

18th March 2023

The collapse of Silicon Valley Bank (SVB) was a major shock to the tech industry, which had come to rely on the bank’s financial services. The collapse was also a major blow to the bank industry, which had long been seen as a bastion of stability and security. In this article, I will examine the events leading up to SVB’s downfall and explore the ethical dilemmas faced by the bank and the wider tech industry. I will also examine the importance of corporate ethics and accountability in the business world, and the philosophical views of Kant and Nietzsche on moral imperative and corporate responsibility.

SVB’s Collapse

The collapse of SVB was a highly complex event, with a multitude of factors contributing to the bank’s ultimate demise. One of the primary causes was the bank’s overreliance on risky tech startups, which ultimately failed to deliver the expected returns.

The bank’s failure to properly manage risk was also a significant factor, leading to substantial losses in the wake of the 2008 financial crisis. Additionally, the bank’s aggressive expansion strategy, which involved opening branches in emerging markets around the world, left it vulnerable to economic downturns and political instability.