On Friday, March 10, Silicon Valley Bank (SVB) collapsed and was taken over by federal regulators. SVB was the 16th largest bank in the country and its bankruptcy was the second largest in U.S. history, following Washington Mutual in 2008. Despite its size, SVB was not a “systemically important financial institution” (SIFI) as defined in the Dodd-Frank Act, which requires insolvent SIFIs to “bail in” the money of their creditors to recapitalize themselves.
Technically, the cutoff for SIFIs is $250 billion in assets. However, the reason they are called “systemically important” is not their asset size but the fact that their failure could bring down the whole financial system. That designation comes chiefly from their exposure to derivatives, the global casino that is so highly interconnected that it is a “house of cards.” Pull out one card and the whole house collapses. SVB held $27.7 billion in derivatives, no small sum, but it is only .05% of the $55,387 billion ($55.387 trillion) held by JPMorgan, the largest U.S. derivatives bank.
SVB could be the canary in the coal mine foreshadowing the fate of other over-extended banks, but its collapse is not the sort of “systemic risk” predicted to trigger “contagion.”
h/t SLL
Having some cash, gold and silver on hand might be really good.
Silver junk coins would help in a barter economy as well.
Lead is a good barter item too.
And the best hedge.
only if exchanged in the proper method. Wouldn’t want any of that “lead” to be returned in a hostile manner.
Amen.
IT AINT HOLY WATER: Now There Is Some Truth Here we are strider.
this thing the wicked ones invented under Wilson is about to blow wide open and crash. It will be felt by everyone who did not prepare for themselves and their families. Cash will be King for a while and then it will transit to Gold and Silver. it won’t be the digital currency the wicked ones in the bureaucracy are trying to sneak in by collapsing the banking system purposely. more than half the nation will not use it and it will collapse under its own weight of corruption. the digital system they are creating is for themselves to steal more money using fake and phony digitized numbers from a federal reserve computer ai system so the scumbag political whores can enrich themselves even more at our expense. but the main system will be for them to track every citizen on what they purchase in real time and if you don’t agree with their leftist wacko policies, they will cut you off from purchasing what you need to live.
reading a related article over at WRS, whereas, if the gov comes in and guarantees all SVB depositors, ergo “nationalizing the deposits,” could this not be applied to all deposits in all institutions? That said, if the deposits are nationalized, then the gov can come in and say since the deposits are the property of the gov, we will be changing those deposited fund from dollar and cents type of currency to say, another form of “digital currency” and set the exchange rates with whatever they decide is an advantageous rate for said gov.
A few days ago Biden assured the American people that the banking system and their bank deposits were “safe.” Gee, didn’t he tell all the American people that the so-called covid vaccines were “safe” too?
I don’t know about everyone else, but I ain’t buying it. Sounds like another snake oil salesman’s con to me.
The “shadow banking system,” based on “derivatives,” sounds like Ponzi’s wet dream of a scheme on steroids. I believe that ultimately, the only thing to be “derived” from it will be; world-wide bankruptcy, followed by world-wide economic collapse, to be quickly followed-up by world-wide poverty and mass death. This monstrosity could have only been conceived, built and implemented by none other than Satan himself and his soulless human disciples.
Ponzi’s wet dream is social security, force all to pay in while dishing out some. That was fine back when the first, put in one cent and collected $20+ thousand. The key trap here was the congress critters robbed the fund and played the flim-flam on all those still paying into the system.
Federal Reserve Will Launch ‘FEDNOW’ Payment Service In July | The Gateway Pundit
Classic.
Create a problem
Offer THE Solution
Then steal your freedoms with the electronic python.
Note that elimination of cash is the PLAN so they can control everything you buy and sell. China’s Social Score in 3,2,1
Bad Think? No groceries for you, No gasoline or electricity for you and so on until you “Repent” in a “Struggle Session”.
Repeat offenders get special education in “Health Camps”.
Just ask the Chinese.