The Globe and Mail reports in its Tuesday edition that Canada's tech sector was already poised to emerge largely unscathed from the failure of Silicon Valley Bank before U.S. regulators promised Sunday to ensure all of its depositors would be made whole. The Globe's Sean Silcoff writes that as markets digested the news Monday, denizens of the Canadian tech scene said they were still worried about the long-term impact of the bank's demise. The concern is twofold. One major worry is that the sector, which entered a sharp downturn in late 2021, will continue scaring off investors. Valuations crashed last year, and tech companies -- including Canada's Shopify and Lightspeed -- have laid off more than 300,000 people globally. The other worry is that the disappearance of SVB will further tighten available capital for start-ups that have had to slash spending in the face of dwindling investor interest. Collectively, those firms have driven job growth and wealth creation for years. "Any tightening of the supply of risk capital funding to the early stage firms will be a net-negative for the health care and technology ecosystems," Scotia Capital said in a note Monday. Fewer backers also means the long-term outlook is murky.