According to a post on March 11 by Bob Elliot, the chief investment officer of Unlimited Funds, relief efforts may already be underway less than 72 hours after the collapse of Silicon Valley Bank (SVB). Elliot claimed that “big banks [are] actively working on buying svb business,” the United States Federal Deposit Insurance Corporation (FDIC) is planning to cover 95% of uninsured depositors to the acquirer, and that “50pct of uninsured paid out next wk.“

Cointelegraph reported earlier that Circle, the issuer of the USD Coin (USDC) stablecoin, had over $3.3 billion of its $40 billion reserves stuck in the troubled bank. In addition, SVB reportedly held, at one point in time, an estimated $5 billion in funds for prominent blockchain venture capital firms such as Andreessen Horowitz, Pantera Capital and Paradigm. Earlier today, USDC depegged from its one-to-one U.S. dollar peg to trade as low as $0.87 before slowly repegging to trade at $0.95 at the time of publication.

Although the reports are currently unverified, multiple sources confirm that many different paths to resolution are in the works, and depositors will get back “at least 50% of their deposits” by next week. “Long term it’s likely they get 90%+ back and very possible no depositors loses a single $,“ Hal Press, founder of investment firm North Rock, stated

Previously, decentralized finance analyst Loki Zeng estimated that the net value of USDC is “$0.885 at [the] extreme situation and $0.985 at [the] normal situation,” and commented, “even if there is an issue, it won’t be as severe as FTX. “Alex Svanevik, CEO of blockchain analytics firm Nansen, also said that the Circle and USDC “can make it,“ so long as “top-class execution” is conducted in the next few days. Like USDC, the Dai (DAI) stablecoin — itself collateralized by over 3.1 billion USDC — has pared most of its losses and trades at $0.97 at the time of publication. Earlier today, MakerDAO, DAI’s issuer, filed an emergency proposal amending protocol risk parameters after the USDC depegging event. 

Update Mar. 13 2023 3:50pm UTC: Removed certain comments relating to the matter.