The bankruptcy of Silicon Valley Bank has generated a wave that may affect all markets, but there is one in particular where there are more doubts than ever: China. Why the Asian country? Well, it has a very simple explanation: because of the Chinese startups that could be backed by the bank in question. But let’s start with a bit of context.
In China, SPD Silicon Valley Bank was created, a company where both the already famous Silicon Valley Bank and the state-owned Shanghai Pudong Development Bank were present. For this reason, doubts about the viability of the startups that would have trusted this bank were in question; however, it seems that there will be no problems (or so they say).
According to the entity, all operations carried out on Asian soil were executed independently from those on U.S. soil, in addition to complying with Chinese regulations. The entity, in fact, points out in its statement that all the operations carried out were always “solid and regulated”, which removes all the possible ghosts that haunt the heads of many analysts.
This does not mean that some Chinese companies have confirmed that they have deposits in the United States, especially in the pharmaceutical and biotechnology sectors. However, these are small percentages that do not represent a significant amount of capital for the companies in question.
