How Arc Is Supporting Startups Impacted by SVB

Don Muir

Co-Founder & CEO

Over the last week, our team of Arc-itects has been working around the clock to onboard hundreds of new customers. We are relieved that regulators have unlocked SVB deposits and we remain committed to delivering Arc customers a best-in-class cash management experience.

Arc’s top priority is to offer the safest cash management experience globally through our bank partners. We’re fortunate to be in a position to help the thousands of companies looking to securely store funds and access the necessary capital to keep their businesses running.

Today, Arc customers are eligible for combined FDIC insurance up to $2.75M*.

Here is how Arc’s customers deposits are being protected:

1) Up to $2.75M Combined FDIC Insurance Eligibility
Arc is a financial technology company, not a bank. Your deposits never touch Arc’s balance sheet. Rather, Arc selectively partners with banks that hold your deposits and provide you with FDIC coverage and diversification:

  • Evolve Bank & Trust (Coverage up to $250K): Funds in your cash management accounts are held by our partner Evolve Bank & Trust, where the first $250,000 remains on Evolve’s balance sheet with full FDIC insurance eligibility.
  • Bank of New York Mellon (Coverage up to $2.5M): We also give you the option in our platform to allocate any amount of deposits to an insured deposit sweep program provided through a brokerage account held by our partner Bank of New York Mellon. This program automatically sweeps your deposits into a network of FDIC-insured banks, giving you FDIC insurance eligibility up to $2,500,000 on those deposits.

2) Government-Backed Securities
Above these limits, you will also have the option to invest directly in government-backed Treasury bills with varying durations through our platform. At current market rates, these products yield up to 4.95% APY, net of fees to our partners.  

3) Partner Financial Strength
Arc’s bank partners (and their sweep networks) are among the largest financial institutions in the world. We understand them to be financially stable with trillions in assets, and they have experienced net asset growth over the past week. Similarly, Arc is in a strong financial position and is well-capitalized—with no ongoing exposure to SVB or cryptocurrency.

We know that this is a stressful time for many of you. Our entire team is on standby to help with anything that you may need. We are doing everything in our power to help companies navigate these challenging times. Simply reach out to if you have any questions.

We take your trust in us seriously, and are grateful for your continued support.



Arc is a financial technology company, not a bank. Money transmission services provided by Stripe Payments Company. Banking services provided by Evolve Bank & Trust, Member FDIC. Arc Cards are issued by Celtic Bank and serviced by Stripe, Inc. and its affiliate Stripe Servicing, Inc.

Arc has partnered with Helium Advisors LLC, an SEC-registered investment adviser, to bring companies investing features. All investment advisory services are provided by Helium. Arc receives compensation as a percentage of assets managed by Helium for promoting Helium’s investment advisory services. Arc’s partnership with Helium gives Arc an incentive to refer companies to Helium instead of another investment adviser that is not a partner of Arc’s. This conflict of interest affects Arc’s ability to provide companies with unbiased, objective information about the services of Helium. This could mean that the services of another investment adviser with whom Arc is not partnered may be more appropriate for companies than those of Helium. Investing involves risk, including the possible loss of principal, and there is no assurance that the investment will provide positive performance over any period of time. Helium accounts are not bank guaranteed or FDIC insured.

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