Silicon Valley Bank (SVB) failed in spectacular and sudden fashion on March 10, becoming the second largest bank to do so in our nation’s history and triggering a panic in our banking system in the process. Although virtually everyone knows of SVB’s failure, not everyone understands exactly why Silicon Valley Bank failed. Many have blamed SVB’s environmental, social, and governance (ESG) policies or stakeholder capitalism for the bank’s sudden collapse, but these are really just symptoms of the bank’s ongoing financial mismanagement in the face of catastrophic rate hikes rather than the underlying cause of SVB’s downfall. SVB’s failure also highlights the immense risks facing our banking system. And the Biden administration, Congress, and the Federal Reserve share much of the blame.