Discover and read the best of Twitter Threads about #SVBCollapse
Most recents (24)
Check out this difference between US and China banks. In other words, crazy casino capitalists versus sensible socialists. Looking at the top 4 American and Chinese banks, here are their assets and derivatives:
US: 20x more derivatives than assets!
China: 2x more ASSETS than… twitter.com/i/web/status/1…
US: 20x more derivatives than assets!
China: 2x more ASSETS than… twitter.com/i/web/status/1…
The American banking system is fugazi.
Fluff. Fake. Vaporware.
A giant casino system that was never reformed even after the 2008 financial crisis.
#SVBCollapse and #CreditSuisse's impending collapse are all due to such unregulated, monstrous derivatives.
Wall Street nerds… twitter.com/i/web/status/1…
Fluff. Fake. Vaporware.
A giant casino system that was never reformed even after the 2008 financial crisis.
#SVBCollapse and #CreditSuisse's impending collapse are all due to such unregulated, monstrous derivatives.
Wall Street nerds… twitter.com/i/web/status/1…
Another way to look at the assets and derivatives of the top 4 American and Chinese banks:
🧵🧵THREAD about the banks🧵🧵
Incase anyone is still confused as to what happened with Silicon Valley Bank, Signature Bank, and the entirety of the banking sector, I decided to create a thread detailing the collapse and the backstory 👇🏼👇🏼
#SVBCollapse #BankingCrisis
Incase anyone is still confused as to what happened with Silicon Valley Bank, Signature Bank, and the entirety of the banking sector, I decided to create a thread detailing the collapse and the backstory 👇🏼👇🏼
#SVBCollapse #BankingCrisis
Commercial banks exist for people to deposit their money so that the bank may use it to make their own investments.
The difference between the interest you earn on your deposits (currently 0.2%) and the rate of return the bank earns on their investments is the bank’s profit
The difference between the interest you earn on your deposits (currently 0.2%) and the rate of return the bank earns on their investments is the bank’s profit
Private Banks, just like ANY OTHER PRIVATE COMPANY, exists to serve their bottom line, first and foremost… above all.
…regardless of what the on-paper rules say about fiduciary responsibility
…regardless of what the on-paper rules say about fiduciary responsibility
'ठिणगीच रूपांतर वणव्यात व्हायला वेळ लागत नाही' 🔥😄
अमेरिकेत बॅंकिंग सेक्टर बर्याच तणावात आल असताना आता युरोपची 'Credit suisse' बॅंक संकटात सापडली आहे!
थ्रेडमध्ये आपण Credit suisse
१)स्थापना
२)कोसळण्याची कारणे
३)Bank run ची भिती
४)रघुराम राजन यांचे मत पाहु
#वसुसेन #CreditSuisse
अमेरिकेत बॅंकिंग सेक्टर बर्याच तणावात आल असताना आता युरोपची 'Credit suisse' बॅंक संकटात सापडली आहे!
थ्रेडमध्ये आपण Credit suisse
१)स्थापना
२)कोसळण्याची कारणे
३)Bank run ची भिती
४)रघुराम राजन यांचे मत पाहु
#वसुसेन #CreditSuisse
युरोपमधील 'Credit suisse' बॅंक ही Switzerland मध्ये स्थित असुन तेथील दुसर्या क्रमांकाची मोठी बॅंक आहे.बॅंकेची स्थापना १८५६ साली(१६७ वर्ष) झालीय.Credit Suisse चे मुख्यालय झ्युरीच, स्वित्झर्लंड मध्ये आहे. युरोपसहित अमेरिका, आशिया खंड इ. सगळीकडे बॅंकचे कार्यक्षेत्र आहे. लहानपणापासुन
आपण सगळे ऐकत आलोय की मोठ्या धनवान लोकांचा ब्लॅक मनी 'स्विस बॅंकेत' असतो तर याचा अर्थ असा आहे की स्विस बँकेत खातेदाराची गोपनीयता मजबुतरित्या पाळली जाते. तिथे खातं असणार्याची माहिती सहजासहजी बाहेर काढु शकत नाहीत. credit Suisse पण विविध फायनान्शियल सर्विसेस देण्यासाठी ओळखली जाते.
Another day, another quest!
The Collapse of Silicon Valley Bank - What is happening? 🧵
The Collapse of Silicon Valley Bank - What is happening? 🧵
How do banks operate?
They take deposits from us 💸, lend most of these deposits out to others & earn high interest rate🤑, They make MONEY 💰, They make more money by investing into other things like BONDS
However, these bonds did not work out for - SVB ⚖️
They take deposits from us 💸, lend most of these deposits out to others & earn high interest rate🤑, They make MONEY 💰, They make more money by investing into other things like BONDS
However, these bonds did not work out for - SVB ⚖️
SVB became greedy, let us explain -
After covid, central bank of US lowered the interest rates to enourage borrowings. But at the same time, VCs invested in a lot of startups too. So, startups didn't take loans but deposited more. Which resulted in a lot of extra cash with SVB.
After covid, central bank of US lowered the interest rates to enourage borrowings. But at the same time, VCs invested in a lot of startups too. So, startups didn't take loans but deposited more. Which resulted in a lot of extra cash with SVB.
Todays UNN show situation report by KimPossible was all about the #bankingcrash who caused it and why, needless to say it was yet another failed attempt by the remaining #blacksun minions > Watch 13-MAR-23 NEWS 1 unitednetwork.tv/videos/13-mar-…
Here is the last of #kimpossibles report from todays show. 13-MAR-23 NEWS 1 unitednetwork.tv/videos/13-mar-…
#quote: Jacob Rothschild passed away last weekend 80+ yrs old. Nathan Rothschild is running the family biz now. h/t KimPossible 13-MAR-23 NEWS 1 unitednetwork.tv/videos/13-mar-…
Not every financial company should be structured as a bank, thereby accepting deposits, intermediating funds across markets, and reporting capital adequacy ratios using the @BIS guidelines.
This is the lesson I derive from the #SVBCollapse
#SVBCrash
This is the lesson I derive from the #SVBCollapse
#SVBCrash
@Bis What is the point of pasting SVB CAR and Capital Ratio Metrics?
What sense could one derive from them before the run began?
They didn't reveal the full picture to the creditors, depositors, or shareholders.
CAR is a metric which exemplifies loss absorption capacity
Now?#SVBCrash
What sense could one derive from them before the run began?
They didn't reveal the full picture to the creditors, depositors, or shareholders.
CAR is a metric which exemplifies loss absorption capacity
Now?#SVBCrash
We need to revert to the Glass Steagall Act to understand economic history.
Why it was introduced in the aftermath of the Great Depression.
Why FDR and his team drew Chinese walls between Investment and Retail Banking institutions?
federalreservehistory.org/essays/glass-s….
Why it was introduced in the aftermath of the Great Depression.
Why FDR and his team drew Chinese walls between Investment and Retail Banking institutions?
federalreservehistory.org/essays/glass-s….
Président Biden 🇺🇸 :
"Les Américains peuvent avoir confiance dans la sécurité du système bancaire"
"Aucune perte associée à la résolution de Silicon Valley Bank ne sera supportée par le contribuable."
#Biden #SVB #SVBCollapse
"Les Américains peuvent avoir confiance dans la sécurité du système bancaire"
"Aucune perte associée à la résolution de Silicon Valley Bank ne sera supportée par le contribuable."
#Biden #SVB #SVBCollapse
"Vos dépôts seront là quand vous en aurez besoin. Les petites entreprises à travers le pays qui déposent des comptes dans ces banques peuvent respirer plus facilement en sachant qu'elles sont en mesure de payer leurs employés et de payer leurs factures."
"Je vais demander au Congrès et aux régulateurs bancaires de renforcer les règles pour les banques afin de réduire le risque que ce type de faillite bancaire se reproduise et de protéger les emplois et les petites entreprises américaines"
Sillicon Valley Bank!
Understand what led to the Collapse of the 16th largest bank in America!
A detailed thread below ⬇️🧵
#SVBCollapse #investing
Understand what led to the Collapse of the 16th largest bank in America!
A detailed thread below ⬇️🧵
#SVBCollapse #investing
(1/11)
About SVB:
Silicon Valley Bank (SVB) was founded in 1983 and was the 16th largest bank in America. The bank had $209B in assets and around $175B in deposits as of December 2022.
About SVB:
Silicon Valley Bank (SVB) was founded in 1983 and was the 16th largest bank in America. The bank had $209B in assets and around $175B in deposits as of December 2022.
(2/11)
• On Wednesday, March 8th, SVB announced that it needed to raise $2.25B & offered $1.25B of its common stock & $500M of its convertible preferred shares.
Due to startup clients withdrawing deposits in an attempt to keep their companies buoyant, the bank had been…..
• On Wednesday, March 8th, SVB announced that it needed to raise $2.25B & offered $1.25B of its common stock & $500M of its convertible preferred shares.
Due to startup clients withdrawing deposits in an attempt to keep their companies buoyant, the bank had been…..
US banks are sitting on a $675B paper loss from their bond portfolios that they bought before interest rates began rising last year
#SVBCollapse was significant, but this is pretext for helping US banks recover their losses by socializing costs with Fed money printing.🧵
#SVBCollapse was significant, but this is pretext for helping US banks recover their losses by socializing costs with Fed money printing.🧵
How did banks lose all this money? They bought a lot of low-interest bonds last year, whose value decreased drastically when the Fed began raising interest rates.
Remember, existing bonds lose value when new bonds that pay more interest can be bought on the open market.
Remember, existing bonds lose value when new bonds that pay more interest can be bought on the open market.
SVB got into trouble because they used customer deposits to buy a bunch of long duration bonds last year to collect interest.
When customers began withdrawing, the value of the bonds they possessed no longer covered the deposits they owed.
When customers began withdrawing, the value of the bonds they possessed no longer covered the deposits they owed.
Thread matinal sur la suite du #SVBCollapse maintenant qu’il y a une communication officielle: federalreserve.gov/newsevents/pre…
Je fais de la redite de mon thread de cette nuit mais avec quelques détails en plus.
1/ les institutions fédérales garantissent l’accès à 100% des fonds des
Je fais de la redite de mon thread de cette nuit mais avec quelques détails en plus.
1/ les institutions fédérales garantissent l’accès à 100% des fonds des
Clients SVB. Premier mesure très forte mais qui n’était pas gagnée d’avance. Mais annonce indispensable pour enrayer la peur de défaut dans d’autres banques. Petite subtilité, ils ne parlent pas du comment c’est financé et on sait qu’ils ont passés le weeks à essayer
De vendre les assets SVB et SVB. Vu la force du communiqué, il est très probable qu’une des grosses banques US soit très engagées pour reprendre.
2/ Une deuxième banque, de taille proche de SVB bien que plus petite, a été reprise dans le week, Signature Bank. Sur le top 3 des
2/ Une deuxième banque, de taille proche de SVB bien que plus petite, a été reprise dans le week, Signature Bank. Sur le top 3 des
1/4: The Federal Reserve just announced a new lending program to prevent banks from running out of cash and causing problems for the economy.
#SVBCollapse
#SVBCollapse
2/4: The program is like what central banks have done for many years: lending money to banks so that customers can always access their accounts.
3/4: This new program will let banks borrow money from the Fed instead of having to sell off assets like Treasuries to pay their customers.
Le #SVBCollapse avance avec une communication officielle sur les mesures fédérales. On y va, c’est agressif pour limiter au max l’impact du Bank run de demain. En 1/, tous les clients auront accès à tous leurs fonds demain federalreserve.gov/newsevents/pre…
Le choix des mots est clés, ils disent que tous les comptes seront accessibles à 100%. Ce qui veut dire qu’ils sont prêt à honorer 100% de sortie.
25% en 8h avaient mis SVB à genoux.
Soit ils injectent du cash soit il y a un repreneur prêt à absorber le choc.
25% en 8h avaient mis SVB à genoux.
Soit ils injectent du cash soit il y a un repreneur prêt à absorber le choc.
Ça sera un repreneur, c’est la meilleure solution à tous points de vue et la seule politiquement acceptable.
Ça donne même un super narratif du gouvernement qui intervient pour protéger mais laisse le marché se réguler.
Ça donne même un super narratif du gouvernement qui intervient pour protéger mais laisse le marché se réguler.
Mutual funds do come with lock-in features! Especially if you are investing in a capital-protected product, you are not entitled to early encashment for a certain time.
Redemptions are deterred with the backend load.
#Backstops are required in the banking arena beyond penalties
Redemptions are deterred with the backend load.
#Backstops are required in the banking arena beyond penalties
Of course, if you park liquidity in a time deposit liability side product, at a bank, you might have to pay a penalty for early withdrawal.
But, the highest liquidity risk is emanating from the sight deposits pool.
Run-on-the-bank risk is hard to mitigate if assets don't sell
But, the highest liquidity risk is emanating from the sight deposits pool.
Run-on-the-bank risk is hard to mitigate if assets don't sell
Also, the standard practice is to call in the treasury department and borrow short-term through the interbank market to fund liquidity drains.
Call and Clean lending is done via the wholesale market for Fi credits.
Also, Repo markets can be used.
Call and Clean lending is done via the wholesale market for Fi credits.
Also, Repo markets can be used.
Banks are "running out of cash", starting with SVB.
Right after the pilot program for CBDC.
And there are still some people who think they're not gonna switch over to their cashless surveillance crypto.
It's time for those people to wake up and smell the fascism.
RIGHT now.
Right after the pilot program for CBDC.
And there are still some people who think they're not gonna switch over to their cashless surveillance crypto.
It's time for those people to wake up and smell the fascism.
RIGHT now.
Buncha dumb MFs are saying you should blame Trump for everything here, but the #BankCrash and #BankRuns were inevitable, because they need sufficient market shocks to switch to the new system.
Biden wants CBDC too, as do leaders in all WEF-aligned governments. It's the plan.
Biden wants CBDC too, as do leaders in all WEF-aligned governments. It's the plan.
#SVBCollapse, partly triggered by Peter Thiel - steering committee of the Bilderberg Group, and VC manager for the military and intelligence industrial complex - was obviously useful to their fascist cashless surveillance state.
"Don't want a Great Depression? Get Fedcoin!"
"Don't want a Great Depression? Get Fedcoin!"
Lots of talk now about whether the Silicon Valley Bank run (#SVBCollapse) that brought the bank down will become a bank panic. A couple of thoughts on that here. 1/
First, both this collapse and some of talk about other regional banks is related to communities with low cohesion. We know the story about Silicon Valley -- rule number one is looking out for yourself. Some research here: pubsonline.informs.org/doi/full/10.12… 2/
Second, if bank runs turn into bank panics with runs on multiple banks, community similarities will shape the spread. Tech communities elsewhere need to watch out. Research here: journals.sagepub.com/doi/pdf/10.117… 3/
Follow @SRuhle on the #SVBCollapse. I have a confession; I was once a client of Silicon Valley Bank and everything she says rings true. How did this happen? It takes some understanding of the culture of startups and the pressure of conformity by the boys with billions. 1/
I had never heard of SVB when I started to raise for a tech company I co-founded. In the end, we never had to raise from VCs so had little interaction with the bank, but we did think when we started that we would. We'd raise a few bucks from angel investors then go big. 2/
"Everybody uses SVB" I was told, though we were based in Boston. Raising money is horrible. For a woman, even one with a track record, it is an uncomfortable power dynamic and my age and experience helped level it some. The data is clear it is not easy for women. 3/
The #SVBCollapse is showing us how corrupt the legacy financial system is.
It's stacked against the working class.
Let me explain:
It's stacked against the working class.
Let me explain:
In traditional markets, high value investors always try to get bailed out.
Fixing a "soon to be irreversible mistake" means bailing out Silicon Valley Bank.
Fixing a "soon to be irreversible mistake" means bailing out Silicon Valley Bank.
Why?
Likely because they would lose significant amounts of money if financial institutions aren't bailed out.
They may have the right intentions, but they make money from predicting where the market is going.
Likely because they would lose significant amounts of money if financial institutions aren't bailed out.
They may have the right intentions, but they make money from predicting where the market is going.
Here is this Week’s Market Wrap
'Banking on a Collapse' written by @shyamsek
A Thread (1/n)
#Banking #SiliconValleyBank #SVBCollapse #marketwrap
'Banking on a Collapse' written by @shyamsek
A Thread (1/n)
#Banking #SiliconValleyBank #SVBCollapse #marketwrap
One week is a long time in global banking. Or, so it seems if one goes by the latest inflation and interest rate commentary of the federal reserve Chairman Jerome Powell. (2/n)
#banking #inflation #interestrates
#banking #inflation #interestrates
The Silicon Valley bank collapse has almost caused a setting for a rapid reset of the interest rate trajectory in the US. (3/n)
#SiliconValleyBank #SVBCollapse #interestrates
#SiliconValleyBank #SVBCollapse #interestrates
My guess is the lefty narrative is going to be WAY OFF regarding #SVBCollapse just like it was WAY OFF regarding the shutting down of the economy. They’ll say “Don’t do a bailout! We did that and it was a giant mistake! A bailout is for VC’s and Wall Street!”
If we don’t bail out the people and companies who will lose anything over $250k we are ushering in another consolidation to the top. The top tech companies will survive, it’s the small startups who will fail. The big banks will survive, it’s a small regional banks that will fail.
We HAVE to bail out the people who held accounts in this bank. They must be made whole. Otherwise an entire generation of startups will fail to exist, there will be a run on community banks and power will consolidate straight to the top. Just like shutting down the economy did.
Selling $BTC now might be a big mistake.
A thread🧵👇
A thread🧵👇
1/ Disclaimer:
Please know that I will combine technical analysis, historical chart patterns, fundamental factors of #Bitcoin scarcity, and seasonal patterns in the next tweets. The future is unpredictable. Profits are not guaranteed. Losses are inevitable.
Ready? Let's roll👇
Please know that I will combine technical analysis, historical chart patterns, fundamental factors of #Bitcoin scarcity, and seasonal patterns in the next tweets. The future is unpredictable. Profits are not guaranteed. Losses are inevitable.
Ready? Let's roll👇
2/ As the #Bitcoin prices retraced ~20% from the peak, the 200-day mean trend moves sideways, regardless of the recent price drop. This confirms that the local breakdown of $21500 does not impact the long-term trend shift. Instead, it is a casual correction following a 65% surge.
What happened with Silicon Valley Bank (SVB)? Why did it crash? Who's responsible?
A thread 👇 🧵
#SVBCollapse #SVB #SIVB
A thread 👇 🧵
#SVBCollapse #SVB #SIVB
1/9
SEC Chair Gary Gensler & Senator Elizabeth Warren launched operation Chokepoint 2.0 somewhere in late 2022.
Chokepoint 2.0 is an operation aimed at crypto companies and getting them unbanked.
No matter how you feel about crypto, this had big consequences outside of it.
SEC Chair Gary Gensler & Senator Elizabeth Warren launched operation Chokepoint 2.0 somewhere in late 2022.
Chokepoint 2.0 is an operation aimed at crypto companies and getting them unbanked.
No matter how you feel about crypto, this had big consequences outside of it.
2/9
In early 2023, the Chokepoint operation harassed the Silvergate bank and its customers, which caused a bankrun and the shutdown of Silvergate.
In early 2023, the Chokepoint operation harassed the Silvergate bank and its customers, which caused a bankrun and the shutdown of Silvergate.
आजच्या थ्रेडमध्ये आपण सध्या जगभरात Hot Topic असणार्या विषयाबद्दल जाणुन घेऊ. म्हणजेच अमेरिकेतील
१)'Silicon Valley Bank'(SV bank)
२)ती बुडण्यामागील कारणे
३)त्याचे परिणाम,ले ऑफ
सुरुवातीला सांगु इच्छितो की इथे बर्याच जणांना २००८ साली 'Lehman brothers bank' बुडाली
#threadकर #वसुसेन
१)'Silicon Valley Bank'(SV bank)
२)ती बुडण्यामागील कारणे
३)त्याचे परिणाम,ले ऑफ
सुरुवातीला सांगु इच्छितो की इथे बर्याच जणांना २००८ साली 'Lehman brothers bank' बुडाली
#threadकर #वसुसेन
तेव्हा त्याचे फक्त अमेरिकेवर नाही तर संपूर्ण जगावर काय परिणाम झाले हे माहिती आहेच, आपल्या भारतालापण त्याचा जोरदार फटका बसला पण पंतप्रधान डॉ.मनमोहन सिंग, अर्थमंत्री पी चिदंबरम इ. हुशार लोकांमुळे भारतीय अर्थव्यवस्था सावरली 😄
हा झाला इतिहास,पण आता कालच लेहमन ब्रदर्सनंतरच मोठ संकट
हा झाला इतिहास,पण आता कालच लेहमन ब्रदर्सनंतरच मोठ संकट
निर्माण झाल असुन शुक्रवारी (१० मार्च) रोजी SV bank बंद केली आहे आणि या बॅंकला विकत घेण्यासही कोणी तयार नाहीय. SV bank ही अमेरिकेतील कॅलिफोर्नियामध्ये स्थित असुन IT companies चा हब असलेल्या जगप्रसिद्ध 'सिलिकाॅन व्हॅली' मधील स्टार्ट अप्सना कर्ज देण्याचे काम करते. या बॅंकेची स्थापना
🧵(thread) Listening to @markcuban & the Twitter Space about #SVBCollapse has me highly reflective... as one with a finance/banking background, I see the erosion of Silicon Valley as 'start up central' in the US. California USED to be the land where tech giants prevailed...
... only high taxes, stringent regulations, cost of labor & essentially the decline of quality of life shifted away just like the infamous earthquakes in this area. We looked elsewhere & found new places such as Texas, Arizona ("the new Silicon Desert), Atlanta & Florida as ....
thriving tech hubs! In addition, these states have developers that create new luxury projects inviting the Silicon Valley/Urban richness as well as the work hard/play hard environment we love. Also factoring is the diversity, talent pool, lower COL (cost of living) & connectivity
Starting yesterday, the Ripple Effect of #SVBCollapse has come to #MEV area, creating tons of opportunities for both arb and 🥪 🤖, and it's a developing story.
Profit of arb from Mar 9 to 11 : $260K, $697K, $3.46M.
🥪: $50K, $311K, $2.14M. eigenphi.io
Profit of arb from Mar 9 to 11 : $260K, $697K, $3.46M.
🥪: $50K, $311K, $2.14M. eigenphi.io
This crisis has impacted the oldest decentralized stablecoin: DAI. It was affected by this USDC bank run crisis and fell as low as $0.9.
The main reason is that 54% of the DAI currently in circulation is minted on a 1:1 basis through the collateral USDC. When the USDC becomes severely de-anchored, the underlying assets of the DAI depreciate, causing a shock to its market price.
