2 years ago

935

They will be Decimating the dollar and traditional banking systems. Turning to a digital system.

Banks are in a precarious spot right now.
Banks are complaining that they cannot get employees and they are in serious need of help.
The last time our economy took a dive the bags for bailed out by the government.
That will not happen this time because the banks will be bailed out by the depositors.
This is called a bail in.

G20 - (n) the world’s largest 19 national economies, including the USA, and the European Union together, a group of 20.
Additionally,
there are representatives of the International Monetary Fund (IMF) and the World Bank. The G20 finance ministers and central bank governors began meeting in 1999,
at the suggestion of the G7 finance ministers in response to the financial crisis in the 1990s.

Bailin - (v/n) restructuring of a financial institution on the brink of failure, by forcing its creditors and unsecured depositors to take losses on their holdings.
It often gets regarded as a rescue of last resort to help a troubled financial institution's ability to attract future business.
A bail-in is different from a bail-out,
which involves the rescue of a financial institution typically by government credit extensions into the failing private sector.

Why Bank Bail-Ins Will Be the New Bailouts

https://www.investopedia.com/articles/markets-economy/090716/why-bank-bailins-will-be-new-bailouts.asp

H.R.4173 - Dodd-Frank Wall Street Reform and Consumer Protection Act

https://www.congress.gov/bill/111th-congress/house-bill/4173

'Legalized' G20 Bank Bail-In Laws

https://ncrenegade.com/legalized-g20-bank-bail-in-laws/

New Financial Crisis Laws: Bank Bail-ins, Money Market Freeze

https://sdbullion.com/blog/new-financial-crisis-laws

Can banks legally confiscate your deposits without your permission?

https://moorejustinmusic.com/students-life/can-banks-legally-confiscate-your-deposits-without-your-permission-to-bail-themselves-out/

Bank deposit Bail In law is biggest threat to average USA

https://www.investmentwatchblog.com/bank-deposit-bail-in-law-is-biggest-threat-to-average-usa-g20-savers-hsbcs-james-steel-gold-is-a-highly-regarded-asset/

New G20 Rules: Cyprus-style Bail-ins to Hit Depositors AND AND Pensioners

https://www.resilience.org/stories/2014-12-02/new-g20-rules-cyprus-style-bail-ins-to-hit-depositors-and-pensioners/

Resolving Globally Active, Systemically Important,
Financial Institutions

https://www.fdic.gov/about/srac/2012/gsifi.pdf

More than 4,000 bank branches in the UK have closed in the past six years as lenders increase digital services for customers

https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/uk-banks-speed-up-plans-to-ax-branches-and-switch-focus-to-digital-63761687

So… if a large bank fails in the US, the FDIC steps in and takes over, replacing management,
and works to shrink the bank by writing-down liabilities and converting debt into equity.
In other words…
any liability at the bank is in danger of being written-down should the bank fail.
And guess what?
Deposits are considered liabilities according to US Banking Law and depositors are creditors.

KEY FACTS
Huntington Bancshares, Wells Fargo, Sierra Bancorp all announced branch closures in the past few days in Ohio, Philadelphia and California respectively.

More than 4,000 bank branches in the UK have closed in the past six years as lenders increase digital services for customers, said S&P Global Market Intelligence, citing data from UK consumer advocacy group Which.

In 2020, 368 bank branches alone shut down in the UK, led by Barclays which closed 105.

Already in 2021, TSB Bank plans to close 155 branches, Santander UK will shutter 111, HSBC Holdings, 82 and Barclays, 63.

Low interest rates have also squeezed banks’ net interest margins, prompting them to cut operational costs elsewhere, S&P noted.

The move toward expanded digital services, pressures arising from the pandemic and a desire to cut costs has led to thousands of bank branches to close on both sides of the Atlantic, a pattern that seems irreversible to many observers.

www.roguemoney.net/stories/2016/3/28/the-fdic-is-no-longer-just-an-insurance-agency-but-the-primary-executor-for-the-bail-in-process

Bank Bail-in Laws
Since the end of 2014, new G20 Bank Bail-In Laws have been signed and put into supra-national law.

Average bank depositors are now legally treated as unsecured creditors even in the largest economies of the world.

Form 424B2 BARCLAYS BANK PLC

https://www.streetinsider.com/SEC+Filings/Form+424B2+BARCLAYS+BANK+PLC/19376567.html

US Banks Closed Record Number of Branches

https://www.pymnts.com/news/banking/2022/us-banks-closed-record-number-of-branches-in-2021/

3 Major Banks Plan More Branch Closings As Thousands Shutter—In U.S. And U.K.—Amid Cov, Digital Growth

https://www.forbes.com/sites/palashghosh/2021/04/23/3-major-banks-plan-more-branch-closings-as-thousands-shutter-in-us-and-uk-amid-covid-digital-growth/

LEGALIZED BANK BAIL-INS

https://sdbullion.com/legalized-bank-bail-ins

EXCLUSIVE-IMF, 10 countries simulate cyber attack on global financial system