- Joined
- Dec 31, 2018
4.5% fed funds rate caused this. That’s pretty low in historical terms, but we now have an economy dependent on zero or near zero interest rates. It’s a fucking farce.
Bank Run Watch 2023 after Silicon Valley Bank shutdown - Over 97% of SVB's assets were not FDIC insured
- Thread starter chiobu
- Start date
- Joined
- Dec 15, 2022
There is a few banks in California showing signs of failure. One of them is called Silver Spring. It seems Uber Door Dash and Grub Hub had their money in Silicon Valley. People might have to start taking taxis and driving to get their own food if they go out of business. That also means people will lose their low paying jobs oops I mean gigs. If this goes the way it seems it will it's going to be 2007-2008 all over again. Seeing as that micro collapse stretched into 2009 and the early 2010's I wouldn't be surprised if it goes beyond 2023 and even 2024. It will just make Trumps chances of winning in 2024 that much easier.
The FDIC is only covering $250,000 worth of assets. It's not like they are going to cover everything. There are going to be a lot of people losing a lot of money.
The FDIC is only covering $250,000 worth of assets. It's not like they are going to cover everything. There are going to be a lot of people losing a lot of money.
He said he didn't know about till just now or in the morning in the Netherlands. So he isn't that well informed on it yet. But he will learn more as more details come out. Just like everyone else.
- Joined
- Dec 29, 2022
This isn't a tech bubble, it's a "tech" bubble. Google, Microsoft, Apple, Netflix, Facebook, Amazon, hell fucking PornHub will be fine. Most of these companies, especially old ones that survived the dotcom bubble, have giant stacks of cash stored for just this eventuality. They also don't bank with SVB.
Shitty little startups and the VCs goosing them for acquisition are fucked. The big dogs will be fine.
- Joined
- Jan 30, 2023
- Joined
- Dec 29, 2022
This guy saw it coming back in January:
https://twitter.com/RagingVentures/status/1615826088038473733 (https://archive.ph/6hohB)
- Joined
- Dec 15, 2022
It's not really surprising if you follow what's actually going on. I saw this street shitters video 8 months ago. With his explanation no one should be surprised. This kind of stuff just doesn't just happen out of the blue. It's slow build up.
He also has this video about the situation. He mentions that Silicon Valley bank was a major provider of money and services for startups especially tech startups. He talks about them in the video I posted above.
- Joined
- Jul 1, 2021
I for one cannot wait for Total Startup Death. The VC-backed buzzword-ridden tranny-infested SV startup scene was obviously unsustainable.
- Joined
- Jan 6, 2019
Silicon Valley Bank had NO head of 'risk assessment' for nine months
Collapsed lender Silicon Valley Bank operated without a chief risk officer for nine months while the operation's UK-based CRO is accused of prioritizing diversity initiatives.
Ouch. I wonder if this could be the start of the end for diversity hiring? This woman was organising lesbian visibility and pride marches over managing the risks. The identity over ability plague really being called out here in very scathing terms. Interesting to see the press pivot on this.
I looked at that list someone posted earlier but I’m wondering how you’d check if a specific small biotech type company or midsized pharma has exposure? Have a feeling work on Monday is going to be fun if some of them were exposed
- Joined
- Jul 7, 2016
SUCCESS!
ZERO carbon achieved with two years to spare!
ZERO carbon achieved with two years to spare!
Garm
kiwifarms.net
- Joined
- Jun 5, 2019
My money's on federal bailout. (I'm only half way through but have been thinking about this.)
Biden might be a dementia addled muppet today, but he (and his family) have been a filthy whores for the banking industry for forever.
In addition, the "most pro union president in history" decided to curbstomp the train unions when they threatened the economy. This is a threat to the economy so he will "handle" it. The results would probably make Weimar Germans weep in horror, but it will be handled.
So bailout in bound.
But yes. It was a bit weird.
Biden might be a dementia addled muppet today, but he (and his family) have been a filthy whores for the banking industry for forever.
In addition, the "most pro union president in history" decided to curbstomp the train unions when they threatened the economy. This is a threat to the economy so he will "handle" it. The results would probably make Weimar Germans weep in horror, but it will be handled.
So bailout in bound.
It is about taking possession of something owned by a former captain of industry. Somebody who believed that the earth shook in their stride brought low by their hubris.
But yes. It was a bit weird.
- Joined
- Jan 30, 2023
I wouldn't look to Daily Mail to assess overall MSM coverage, being owned by Rupert Murdoch they, unlike the rest of the MSM, occasionally go against the established narrative, as you've probably seen, on FOX News and Sky News. And my family tells me Rupert Murdoch is evil and not to listen to any of his networks.
Phalanges Mycologist
kiwifarms.net
- Joined
- Sep 11, 2021
I'm getting 08 vibes even more now they did this exact thing with UK banks before the housing crash.
- Joined
- Jul 15, 2016
I followed the 08 "crisis" like a hawk when it happened.
The fed and gov position was that everyone had MBS aids on the balance sheet. The TARP program let fed take all the bad paper etc.
They also worked hard to prevent this kinda domino sheet after lehman brothers failed.
Personally I am a retard but I would have taken the 2008 crisis and proof that the banks need to be broken down into not too big to fail. And basically chained so they cant have this shit happen.
I think TPTB might not be working so hard again because maybe the adminstration is full of diversity hires and they dont know what to do
The fed and gov position was that everyone had MBS aids on the balance sheet. The TARP program let fed take all the bad paper etc.
They also worked hard to prevent this kinda domino sheet after lehman brothers failed.
Personally I am a retard but I would have taken the 2008 crisis and proof that the banks need to be broken down into not too big to fail. And basically chained so they cant have this shit happen.
I think TPTB might not be working so hard again because maybe the adminstration is full of diversity hires and they dont know what to do
- Joined
- Jun 8, 2015
The real issue, as I understood it, was that unlike conventional credit/debit charges that go through instantaneously, there's a substantial delay for the transaction to get added to the blockchain (like, one whole business day) and in the time it takes to reconcile, the value of whatever crypto was used could plummet and the merchant could end up taking a loss on the transaction. There is no simple way to fix this unless you include a contract between you and the merchant that allows them to take more later to balance the books. Which only invites the question, if the reverse happens and you end up overpaying, do you get that crypto back? Now we're into the realm of holds and whatnot on your credit card until the transaction goes through.
That's simply complicating the matter until the mere act of wanting to buy a pack of gum requires the same amount of work as closing on a house and at that point, what's the advantage over just using conventional cash to anyone except a devoted technophile who just loves the concept that much?
The few retailers that still take it are just treating it as a loss-leader to appeal to the tech crowd, so it's no surprise that Newegg is still on board. Tesla, tellingly, used to be but isn't, showing that once the amount you stand to lose on a botched crypto deal gets beyond casual write-off (box of crackers vs entire new car) everyone bails.
There's a reason we don't buy things like gas and snacks with stock options - not because it's not possible, but because it's not practical.
It's like trying to use a debit card when the value of money in your checking account is constantly fluctuating, and, fluctuating not due to any predictable force, but because its inexplicably linked to an RNG program that may roll "0" and that's just "how it works'".
If the biggest flaw in crypto is unrecoverable loss being only a keystroke away, the second biggest is the fact it's not stable. While inflation can eat the value of your bank account, the loss doesn't happen overnight. With crypto, it can and does to the point unlike Weimar hyperinflation, where you can't be sure a wheelbarrow load of cash will be enough for bread, you can't even be sure the WHEELBARROW will exist to wheel it all to the baker and give it a shot.
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Cpt. Stud Beefpile
kiwifarms.net
- Joined
- Sep 30, 2022
It does. They even have a checkbox for vendors who accept it.
- Joined
- Nov 15, 2016
- Joined
- Jun 8, 2015
Wonder if the 30% of auto executives still committed to 100% EV by 2030 just flipped?
The knock-on effects of this on utopic Green ideas that can only survive by brute-forcing cash injections is going to be something.
- Joined
- Mar 22, 2022
It's almost like these climate focused businesses can't survive in an actual market. I'm truly shocked.
- Joined
- Sep 23, 2019
What I'm increasingly getting is that the SVB team is basically 2008 financial crisis All-Stars. And of course they were leading the startup industry.
It's almost impressive.
- Joined
- Apr 12, 2021
Go to Crunchbase and look up their investors. If they got money from a big Silicon Valley VC in their seed or Series A rounds, chances are they were forced to use SVB. If they didn’t, they likely have another bank.