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[DrCaleb]

Silicon Valley Bank employees received bonuses hours before government takeover

*Whew*, at least that is good news.

Although I have a hate on for Canadian banks, at least ours don't fail every few years.

[raydan]

Having "healthy" regulations on the banking industry is never a bad thing.

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[DrCaleb]

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This was all caused by the fiasco in crypto (FTX) and decades in low interest rates compounded by redaction of regulations under Trump. Only 35% of the investors were pulling their deposits because of the jacking up of interest rates and were into crypto but because Trump removed the onus on these types of banks to hold enough capitol to ensure deposits a run was unavoidable. Now we are looking at even more banks failing. Biden making the announcement early Monday morning to nip this in the bud may end up being the little Dutch boy to plugged the hole in the dam too little too late.

A house of cards...

[DrCaleb]

The US banking system is basically a ponzi scheme right now.

[Scape]

Cut rates, economy collapses from out of control inflation. Up the rates economy collapses from unregulated or weakly regulated banks folding.

Take your pick.

[DrCaleb]

That's what happens when you only insure $250,000 in deposits, and the only tool to leverage the economy you have is interest rates. And import levys.