Just a thought regarding CBDC. If the US did introduced a CBDC, then i would imagine the total bank deposits will have to match the FEDs balance sheet first? So either bank deposits will have to reduce by half or the FEDs balance sheet will have to double. The two charts above will be worth tracking, if we see them converge over time it might be an indicator that a CBDC is near.
If a CBDC is meant to replace bank deposits (like how the federal reserve bank note replaced private bank notes) then i would image the FED will have to realise all bank deposits first. So at some point bank deposits will disappear and the FEDs accounting/CBDC will take over. If the FED didn't match it first then you will have big disruptions amongst banks. I know there are different interpretations on how a CBDC will function, wholesale vs retail CBDC. I'm more focused on "retail".
It's a fact is it not that Australia is the first "1st World" government to perform large scale trials of a CBC under the guise of "a tria" they say is just to see its pro's & con's, what regulation would be required, how the creation of new/more currency would be limited etc is it not? I'm just trying to get my view of the landscape adjusted. I would say that most Aussies are to smart to fall for another, even less representative & even more tracked currency after seeing what's happening with current fiat but sadly I don't think most Aussies have a clue about the total lack tangible assets backing their money, in fact I often have the conversation with Millennials RE what they think they're money is backed by & almost invariably it's met with completely blank looks. "What do you mean by backed" ...the mind boggles!!!
Yeah... Whatever the eventual fate of the Dollar & its global reserve status, the cultural dominance of "Anglo" isn't going anywhere. If it wasn't rooted in British culture rather than US culture, I would also put the dollar in that basket too but in order to make that case it would have to be Pounds Sterling...but it ain't!
Any time these YouTube doomer a mention something about Australia it seems wildly inaccurate. Maybe they all have the same contact holed up somewhere in the outback the equivalent of the Unabomber
BREAKING: First Republic Bank (FRC): After hours: (-22.19%) First Republic is the 18th biggest bank in the US. First, the banks ranked 11 to 20 start failing....then the trickle up affect hits the top 10 banks.....3 months ??? The FDIC will need a bigger boat.
First Republic appear to be hostage to insto / Wall St investors who between them hold circa 95% of First Republic shares. https://fintel.io/so/us/frc In March 2023, short sellers made USD848m shorting First Republic stock. https://markets.businessinsider.com...c-svb-short-sellers-profit-848-million-2023-4 At present it appears 29% of First Republic's stock has been shorted. https://fintel.io/ss/us/frc I can't find the list of shorters but I wouldn't be surprised if some of the First Republic insto shareholders (who may or may not have benefited from the flow of retail deposits from First Republic to the larger banks) are trying to extract max value by shorting the stock before they tip it over.
Could be another "weekend" job for the Fed and Wall St.....Share price down from USD6.59 to USD2.33 on Friday. https://www.afr.com/world/north-ame...-after-stock-s-harrowing-drop-20230429-p5d48r
https://www.kitco.com/news/2023-04-...xposure-was-minimal-Congressional-report.html From the report: https://crsreports.congress.gov/product/pdf/IN/IN12148 Fractional reserve banking follies fell feeble financial foundations.
^^^ don’t USgov just keep printing when needed?? Rep also wants debt ceiling to be lifted again…this time, UNLIMITED
