What is venture debt—and how will SVB’s collapse affect it?

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SVB was the largest issuer of venture debt, and its collapse could have long-lasting effects on startups.

The startup community is still reeling after the collapse of Silicon Valley Bank. The California-based lender was taken over by the Federal Deposit Insurance Corp. late last week after several VC firms advised companies they invest in to pull funds from the bank, leading to a bank run.

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