What is the impact of SVB's collapse on Product Hunt?

Question

Silicon Valley Bank collapse: what is the impact? Let's talk

Won Park · Accepted Answer

I am really shocked

Charlie Guo · Answer

The really key question is what happens on Monday. Prior to this week, 93% of deposits were uninsured (above the $250K FDIC limit), which means there are a lot of companies with tens or hundreds of millions (like Roku) stuck at SVB.

In all likelihood, companies are going to get 100% of their deposits back if they can wait long enough. But if there isn’t a buyer by next week we’re probably going to see some startups miss payroll. If it somehow takes more than a 1-2 months to sort out SVB’s assets, I think a lot of companies are going to be in trouble.

I don’t think there’s too much contagion unless the FDIC hangs depositors out to dry. If they announce people will only get 95 cents on the dollar for deposits over $250K, it could trigger more bank runs as people move money from small banks to big ones.

Won Park · Answer

@shubham_pratap yeah I am worried

Paolo Fornasini · Answer

@veit_josef_schneider it could impact founders in the community...

Shubham Pratap Singh · Answer

It's really shocking :(

Bjarn Bronsveld · Answer

Looking back at 2008 - I really hope this won't cause a domino effect like the Lehman Brothers did. Current scenario is very similar, liquidity issues, except this time it's the tech space and not real estate.

But I guess we have seen amazing companies launch during the financial crisis in 2008-2012. Like Slack, 2009 :) So I guess no need to worry long term.

Rofy Okyere-Forson · Answer

Hard to say really. But I'd like to think it'd be hard for there not to be any effect, especially in the long run. SVB has been one of the largest funders of startups, founders, and VCs alike. If founders are impacted, then that might also affect hunters on the platform and even makers in the long run. The impact might not be immediate, but a gradual one. So yes, there could potentially be a decrease in product launches but who knows?

Danil Kislinskiy · Answer

I think it's a new transformation of Silicon Valley, it will actually make the ecosystem stronger. See what really happened to SVB https://www.linkedin.com/pulse/r...

Key · Answer

The innovation may have some effection on this issue.

Veit Josef Schneider · Answer

If PH is not funded by SVB it will have no impact. why should it?

LisaKim · Answer

It's a collapse of a whole ecosystem. I expected a decrease product launches but in a gradual speed

Hello_Joy · Answer

Shocked and I guess decrease in PH

Churchillson Priddy · Answer

SVB's collapse is a concerning development for Product Hunt. Their collaboration was a key aspect of innovation and growth. It'll be crucial to monitor how this affects future product launches and the startup community on the platform.

Answer

More than Shocking, FYI... https://www.google.com/search?q=...

Hossein Yazdi · Answer

How SVB and Product Hunt can be related?

What is the impact of SVB's collapse on Product Hunt?

Replies