Tech Executives Tried To Keep Companies Entangled In Collapse Of SVB Alive

The SVB event shook global markets, knocked bank stocks down, and left California tech entrepreneurs worried about how to make money. In order to protect the smallest tech industries, action has been taken.

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In this article:

• UBS Evidence Lab surveyed
• How defend a sliding currency?
• Save small businesses

UBS Evidence Lab surveyed

Changes in payments have passed recently and are constantly changing. These changes are taking place right before our eyes. Many institutions are conducting research to see if cash will go out of circulation and whether new forms of payment will replace old ones.

UBS Evidence Lab surveyed 465 Brazilian merchants to assess trends in the LatAm payments industry.

UBS Evidence Lab research assessed key trends in the payments industry, capturing the effects of price revaluation activities and changes in the competitive environment in 2022.

The lows from the survey are that most traders are likely to use new technologies in the next six months, with the main reasons being keeping up with market changes and ease/security. Only 2% of merchants believe that the main reason for using new technologies is that they are cheaper, suggesting that new technologies may not be as cheap compared to other payment methods.

#UBSEvidenceLab surveyed 465 Brazilian merchants to assess trends in the LatAm payments industry. What key trends did #UBSResearch identify? Click the link to read more. #shareUBS

— UBS (@UBS) March 11, 2023

How defend a sliding currency?

As central banks in the world's major economies lowered interest rates after 2008, smaller emerging market economies, especially those in Asia, faced an influx of capital that caused their currencies to appreciate and interest rates to fall.

Global economic and financial integration has weakened the domestic transmission of monetary policy and made international factors a stronger driver of domestic prices and economic conditions.

Confidence in the local economy must be restored through credible policies, after which controls can be gradually relaxed and removed.

How can countries defend a sliding currency? Bank Negara Malaysia’s former deputy governor Sukudhew Singh sets out six factors that determine success. https://t.co/8sZId5ne7a pic.twitter.com/TB6gSOxaTr

— IMF (@IMFNews) March 12, 2023

Save small businesses

Friday's dramatic failure for the bank, which focuses on tech start-ups, was the biggest since the 2008 financial crisis.

Seeking to avoid what Garry Tan, CEO of startup accelerator Y Combinator, called a potential "extinction-level event" in the tech sector, industry executives quickly acted to do everything in their power to save small businesses.

Tech executives, prominent venture capitalists and founders, including OpenAI CEO Sam Altman, raced this weekend to keep companies entangled in collapse alive.

Venture investors advised startups to look for alternatives for short-term liquidity.

Even small startups are joining the action to help others.

Tech execs race to save startups from 'extinction' after SVB collapse https://t.co/3OwU3DAIv5 pic.twitter.com/aFMMPBlSeY

— Reuters Business (@ReutersBiz) March 12, 2023