Stuart Alderoty, the General Counsel at Ripple, recently gave a shoutout to Ro Khanna, a California congressman, for his efforts in protecting depositors at Silicon Valley Bank (SVB) in the wake of its sudden collapse.
Alderoty thanked Khanna for his leadership in ensuring that SVB depositors, including those in the healthcare, climate change, AI, fintech, national security, and crypto sectors, were made whole.
While Ripple’s top lawyer acknowledged that regulatory gaps and accountability should be addressed, he emphasized that depositors and their employees did nothing wrong by placing their funds in a bank that invested in government-backed debt.
Ripple CEO Brad Garlinghouse also addressed the situation, clarifying that while Ripple had some exposure to SVB as a banking partner, it had no impact on the company’s day-to-day operations as the majority of their USD was held with a broader network of bank partners.
The collapse of SVB has caused concern in the tech industry, with reports suggesting that US officials may intervene to protect all deposits at the bank. Officials have emphasized that this intervention won’t come at the taxpayers’ expense and will be funded by the fees that banks pay into the Deposit Insurance Fund.
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