re: Main Street is bailing out risky banks again; this time it's Menlo Park instead of Wall St

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And they are charging other FDIC insured banks special fees to cover the gap. Read the articles posted about this.

And that special assessment will get passed onto the customers of those banks.

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This is what I find extremely frustrating.

I understand the pressure to nip this in the bud and reduce the chance of runs at other banks. But I also think that there's a lot of noise created by Silicon Valley VC's and startups now so they can scare the government and taxpayers into a bail out.

That's a risk I'd take right now. I'd tie a rope around FDIC insured accounts and cover them immediately. Then I'd have the FDIC liquidate all assets of SVB, using the proceeds to cover the uninsured depositors. They would need to expect that this process could take a few weeks and they may have to take a haircut if there is a shortfall.

If there's any gap, I wouldn't touch it. Some lessons need to be learned the hard way. That means some CFO's need to have a much deeper, closer relationship with banking partners that hold $500 million of their cash (like ROKU for instance).