{"id":22030,"date":"2023-03-15T17:09:04","date_gmt":"2023-03-15T09:09:04","guid":{"rendered":"https:\/\/wp-productionenv-bjg9h2g2bgg5b8aa.southeastasia-01.azurewebsites.net\/news\/astra-and-rocket-lab-caught-up-in-silicon-valley-bank-failure\/"},"modified":"2023-03-15T17:09:04","modified_gmt":"2023-03-15T09:09:04","slug":"astra-and-rocket-lab-caught-up-in-silicon-valley-bank-failure","status":"publish","type":"post","link":"https:\/\/starpath.global\/news\/astra-and-rocket-lab-caught-up-in-silicon-valley-bank-failure\/","title":{"rendered":"Astra and Rocket Lab caught up in Silicon Valley Bank failure"},"content":{"rendered":"
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Astra caught up with 15% of cash in SVB<\/h2>\n

In an SEC filing Monday, Astra announced that it had about 15% of its cash on hand and \u201ccash equivalents\u201d in SVB as of the closure of the bank by the FDIC. Like all FDIC banks, deposits are insured by the federal government up to $250,000, but for many companies with accounts in the banks, that might not even meet payroll needs.<\/p>\n

Thankfully, over the weekend, the federal government said that all of the depositor\u2019s assets would be backed by the FDIC and paid for by the fund all banks pay into, not taxpayers. In addition, it was announced that the insured amounts would be available on Monday, not just the $250,000 typically insured, but also those above that limit. However, there has been some confusion on sources on how this system will work and, like most government operations, how easy it will be.<\/p>\n

In the SEC filing, Astra stated they are \u201cunsure\u201d how the closure of SVB and the company\u2019s assets will affect its operations as it used those accounts to handle security deposits to its primary landlords. So in a perfect world, yesterday Astra\u2019s funds would come back and have returned to normal for the short term. <\/p>\n

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