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The Banking System Will Collapse On This Date (It’s Soon)

By Last Updated: October 24, 2023
Reading Time: 2 minutes

Alarm bells should be ringing! Our entire banking system is teetering on the brink of collapse, and if you aren’t paying attention, you might just be caught off guard. Fasten your seat belts, as we delve deep into the crisis at hand.

The Gathering Storm

“What if the Federal Reserve hadn’t intervened during the recent bank busts?” you might ask. Well, without the bank term funding program, we would likely have witnessed a collapse of the banking system as we know it. A dire scenario, indeed! Data from the Federal Reserve Economic Data (FRED) website paints a grim picture. While banks were using the bailout program to the tune of about $64 billion in March 2023, that number has now skyrocketed to an astonishing 108 billion! If that isn’t a sign of deepening cracks beneath the system’s facade, I don’t know what is.

Temporary Fixes and Permanent Scars

The Fed claims its program is “temporary,” but as history tells us, there’s nothing more permanent than a temporary government solution. If this program indeed ends on its projected date of March 11, 2024, are we staring down the barrel of an impending banking collapse?

Systemic Risks Loom Large

The interlinked nature of our financial institutions means the fall of one can lead to the domino effect of multiple collapses. The 2008 Global Financial Crisis is a stark reminder of this vulnerability. The looming threat is that today’s systemic risks are potentially even greater than those of the past. The Fed is still buying their collateral at 100 cents per dollar but the program does have a cost.

Central Bank Digital Currency (CBDC) – The Future?

In the midst of this uncertainty, there is chatter about the potential of a Central Bank Digital Currency. The idea is that as more crises emerge, assets transition from bank balance sheets to the Fed’s, opening doors to not just implement a CBDC, but also to exert tighter control over the entire financial ecosystem. Opening the doors to narrative based credit, with the Federal Reserve should taking over lending, sidestepping traditional metrics like credit scores. This could herald an unprecedented shift in how financial systems operate.

Are we standing on the edge of a precipice, with the entire banking system about to collapse beneath us? While there’s no crystal ball to predict the future, the signs are troubling. As March 11, 2024, inches closer, one can only hope for proactive measures to stave off disaster.

So, dear reader, is our financial house of cards about to come crashing down? Or will innovative solutions save the day? Only time will tell. But one thing’s for sure: complacency is not an option. Stay informed, stay prepared, and most importantly, stay alert!

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