2023 Banking Crisis: Is this the path to CBDC acceptance?
The failures of Silicon Valley Bank and Signature Bank are part of a bigger and intentional effort to limit access to traditional banking services for cryptocurrency transactions. This endeavour has produced havoc in the banking system, and Silicon Valley Bank has been caught in the crossfire. A few venture capitalists triggered the bank run by encouraging others to withdraw their funds via Slack messaging.
This isn't a global financial crisis. Instead, there appears to be a confined panic. The major banks purposely created the panic. The fact that $120 billion has migrated from smaller banks to the top five banks demonstrates this.
The accumulation of authority at the top distinguishes established kleptocracies or crony societies. The dominance of a few banks, airlines, and big firms in numerous industries exemplifies this. This concentration results in substantial wealth and income inequities, which are all too common in our daily lives.
Thus, this is a trend towards financial consolidation, which I believe is also an intentional effort to sow panic, with the goal of creating an opening for people to choose centralised government-controlled digital currencies or Central Bank Digital Currencies (CBDCs). Those who are afraid of banking institutions may consider putting their trust in the Federal Reserve and acquiring CBDCs, which would allow the government to regulate the value and expenditure of their money.
There is evidence that the Federal Reserve is, in effect, boosting the money supply once more. Although others argue that it is not exactly the same as previously, the consequence is a growth of the Fed's balance sheet, with loans extended and bonds repurchased at par. This, in turn, injects money back into banks, potentially increasing the velocity of money.
The current volatility of BTC in the options market, which followed the failure of crypto-friendly banks such as Silvergate and Silicon Valley Banks, was distinct from the more dramatic variations seen last year with the fall of exchange FTX and other crypto crises. The present spike in Bitcoin and gold prices indicates a growing worry among investors about holding only USD as their preferred currency.
The acceptance of bitcoin appears to follow a pattern in which, whenever a key event occurs, such as a tech or financial services company adopting blockchain technology, the creator is disregarded and their notion is ridiculed as impossible.
Source:
Money Talks, 1 April 2023, "The Next Crypto Bull Run is Coming Massively | Mark Yusko Prediction",