David Sacks

David Sacks @DavidSacks

@ebzovi Lankford asks the right questions there. — PolitiTweet.org

David Sacks @DavidSacks

Team SIBs vs Team Regional Banks https://t.co/WJuYI5x2Zz — PolitiTweet.org

David Sacks @DavidSacks

@Jason Bestie stop trying to take down Switzerland. — PolitiTweet.org

David Sacks @DavidSacks

@benchiarelli Do we know the value of the hedges? — PolitiTweet.org

David Sacks @DavidSacks

@edwardbrawer @theallinpod @Jason @chamath @friedberg Wow — PolitiTweet.org

David Sacks @DavidSacks

Look what VCs did now! 😱 https://t.co/d5cFuL8r4m — PolitiTweet.org

David Sacks @DavidSacks

@JackFarley96 What did VCs do now — PolitiTweet.org

David Sacks @DavidSacks

RT @alx: WATCH: @DavidSacks joins Tucker Carlson to discuss the major bank crisis in America. https://t.co/fOLsL9zERm — PolitiTweet.org

David Sacks @DavidSacks

@joelgriffith @Heritage Not it. Keep trying. — PolitiTweet.org

David Sacks @DavidSacks

@eladmallel @theallinpod 🙏 — PolitiTweet.org

David Sacks @DavidSacks

@gnovak_ Here was the full subject. I don’t see the problem. The name of the school was blue because it was a hyper… https://t.co/WsMCbENAU0 — PolitiTweet.org

David Sacks @DavidSacks

@MorgensternNJ Powell had to toe the party line until he was confirmed. — PolitiTweet.org

David Sacks @DavidSacks

@BillyM2k They should have known better! They need to be “disciplined”! — PolitiTweet.org

David Sacks @DavidSacks

The current economic mess is all downstream of the “transitory” lie. The Fed should have reacted to inflation six m… https://t.co/rTrA3SfImy — PolitiTweet.org

David Sacks @DavidSacks

@MsMelChen 🎯 — PolitiTweet.org

David Sacks @DavidSacks

A small non-profit school far from Silicon Valley reached out to tell me that they are an SVB customer. If they had… https://t.co/x78wBmGMEv — PolitiTweet.org

David Sacks @DavidSacks

It should be obvious by now that the problems in the banking system are larger than SVB. https://t.co/vEJCKY8vS7 — PolitiTweet.org

David Sacks @DavidSacks

I came to respect @RoKhanna when he supported free speech in the Twitter Files and endorsed a diplomatic track on U… https://t.co/SNTEc7bgoP — PolitiTweet.org

David Sacks @DavidSacks

If you’ve figured out how to look past an A rating from Moodys and a regulatory seal of approval, please tell us. I’m sure all business depositors in the regional banking system would like to understand how to do that, since about half of all deposits are uninsured. — PolitiTweet.org

David Sacks @DavidSacks

As between (1) bank management, (2) regulators & policymakers in Washington, and (3) depositors, the third group have the least agency and knowledge. Where blame should be heaped most is on the first two groups. Yet virtually all we hear is a narrative about tech. — PolitiTweet.org

David Sacks @DavidSacks

The stupidest part of all this is that Republicans are letting Biden off the hook by blaming depositors—just because they don’t like these particular depositors. That won’t be a good look if more banks fail. The right position is “no bailouts for banks but protect deposits.” — PolitiTweet.org

David Sacks @DavidSacks

So when Joe Biden says he’s going to hold those responsible for this mess fully accountable, he ought to start by looking in the mirror. But I’m sure that’s not going to happen, just as I’m sure the hunt for scapegoats is just beginning. // — PolitiTweet.org

David Sacks @DavidSacks

I warned two years ago that pumping trillions of dollars of stimulus into an already hot economy was an unprecedented and likely dangerous experiment. But this was Bidenomics. — PolitiTweet.org

David Sacks @DavidSacks

So what caused the rapid rate hikes? The worst inflation in 40 years. And what caused that? Profligate spending and money printing coming out of Washington—all while Biden, Yellen and Powell assured us inflation was “transitory.” — PolitiTweet.org

David Sacks @DavidSacks

What turned the mortgage bonds toxic? The most rapid rate-tightening cycle we’ve seen in decades. You can see the connection here between rapid rate hikes and unrealized losses in the banking system. https://t.co/cjcx5CnkYI — PolitiTweet.org

David Sacks @DavidSacks

(Perhaps this is why SVB had an “A” rating from Moodys and had passed all of its regulatory exams.) — PolitiTweet.org

David Sacks @DavidSacks

But it’s important to understand that SVB’s failure didn’t arise from risky startups doing risky startup things. It arose from SVB’s over-exposure to boring old mortgage bonds, which were considered safe at the time SVB bought them. — PolitiTweet.org

David Sacks @DavidSacks

SVB doesn’t deserve a bailout and isn’t getting one. SVB’s stockholders, bond holders, and stock options are getting wiped out. The executives will spend years in litigation and may have stock sales clawed back. Anyone who thinks there’s a “moral hazard” isn’t paying attention. — PolitiTweet.org

David Sacks @DavidSacks

Back to SVB: its collapse was first and foremost a result of its own poor risk management and communications. It should have hedged its interest rate risk. And it should have raised the necessary capital months ago through an offering that didn’t spook the street. — PolitiTweet.org

David Sacks @DavidSacks

Once the run on the bank started, decisive action by the Fed was imperative. This meant protecting deposits (uninsured are 50%) and backstopping regional banks. No matter how distasteful you may find those things to be, it was necessary to prevent a greater economic calamity. — PolitiTweet.org