Big Tech's Bank Failed

https://youtu.be/7g6f8zfT7Gc

#fractionalreserve #banks #svb

DID YOU KNOW: In the #USA, banks are NOT required to have even a dollar of customer deposit on hand. The #FederalReserve lowered the reserve requirement to ZERO three years ago during the early days of COVID lockdown.

https://www.federalreserve.gov/monetarypolicy/reservereq.htm

No wonder why we're in this mess again...

#fractionalreserve #svb #siliconvalleybank #signaturebank #bankrun #soundmoney

The fed in 1993 on removing banking reserve requirements:

"this proposal would clearly eliminate the reserve tax, recent experience suggests that it would also engender a significant increase in volatility in the reserves market and seriously complicate... open market operations. Absent reserve requirements, the Fed Reserve would be unable to reinstitute an effective, reserves-oriented procedure to control
money growth if it ever deemed this action appropriate."

#fractionalreserve #FED #USD