[Music] The data is in and we have additional Bank runs happening right now Specifically in the crypto sector yet Again taking the money from their Depositors so what we're saying again And I'm going to go over this in a Minute a bank out in California called Silvergate bank is absolutely getting Destroyed right now as a result of Horrible Investments and specifically as A result of the crypto currency Continued meltdown now the interesting Thing and really what I want to point Out is as a result of all you know FTX The silvergate company continue crypto Decline that's going to potentially put More and more stress and financial Pressure and hardship on normal FDIC Insured Banks now it is possible that Banks in 2023 or 2024 and even on so as A result of the Dodd-Frank Wall Street Reform consumer protection act right and What that means is if a bank is Suffering just like silvergate if They're suffering offering they have a Legal right to take the money of their Depositors some or all of the money and A lot of times you guys unless it's FDIC Insured you can't do anything about it Right again and we saw that in FTX we're Now seeing that with a much larger Bank In in California right but essentially Just took all of their depositors money
So we're going to go into some articles Today and really get a better idea what The heck is going on in the banking Industry what do we do right where do we Put our money do we keep it Lakeway do We buy gold or silver or treasuries what Are we doing I'm just going to say this I believe what we should do overall is Maybe we invest in 10 you know maybe we Invest in six month treasuries but Definitely we probably should have Multiple bank accounts so we don't get Completely wiped out in the event one of These major Banks starts doing Bank runs Think about how scary that could be so Again one thing that I might want to Suggest is multiple bank accounts but Regardless guys let me show you what's Happening let's jump into some articles Right now name of the article is Silvergate warns of more losses Viability of its business after crypto Crisis so they got sucked into the Crypto crisis really really crazy to see That happen to a bigger Bank you guys so It's not just FTX now we're actually Having we're actually having brick and Mortar Banks basically go out of Business take people's money do Bank Runs this is absolutely insane and it's Probably just a sign of things to come Let's read a little bit more about this San Diego's crypto friendly silvergate Bank has disclosed that its Financial
Health has taken a turn for the worst Amid continued troubles egging the Digital currency industry raising Questions about its ability to remain a Going concern crypto you guys is getting Absolutely smashed right now A lot of People are suffering to be honest with You uh and a lot of people are losing Their covid savings and their life Savings these Bank runs are super They're super scary let's be honest we Want to make sure that our you know our Hard-earned savings is safe how can we Do that if there's Bank runs going on And crypto collapses every other day it Seems like let's read this so Silver Gate which tailored its business toward Providing deposit accounts fund Transferred a real-time payments Network And other banking infrastructure to the Cryptocurrency industry revealed that it Has suffered additional losses in January and February from the sales of Debit Securities that backstopped its Crypto related deposits those losses Will put pressure on the FDIC insured Bank regulatory Capital reserves and Could result in the company and the bank Being less than well capitalized that's Crazy it's an FDIC insured bank they had A total meltdown in crypto really really Surprising here stuff guys really really Surprising that they got wrapped up in This silvergate said in a filing with
The U.S Securities and Exchange Commission on Wednesday these under These conditions silvergate said it is Evaluating the impact of these Subsequent events that have on its Ability to continue as a going concern For the 12 months following the issuance Of its financial statements the company Is currently in process of reevaluating Its businesses and strategies in light Of the business and Regulatory Challenges it's currently facing silver Guard said that it probably would be Unable to file its annual report with The SEC by March 16th deadline Unbelievable as it works to answers Questions related to Regulatory and Other inquiries and investigations wow The bank's independent accounting firm Also needs more time to complete certain Audit steps before before filing an Annual report a silvergate spokesperson Said the disclosure sent the banks Already be in down stock tumbling 58 to 5.72 cents a share on on Thursday you Guys think about a 58 decline that's That's crazy and what one day that's Insane uh so the cat's out of the bag They are super hurting the stock is down From a high of 158 dollars a share about A year ago during the crypto burn going To crypto boom crypto has proven to be Um absolutely destructive to many many People y'all I have never personally
Invested in crypto I don't personally Believe in it but there's a lot of People that do and they a lot of those People got wiped out in the wake of the Filing some digital currency outlooks Took to tweeters seeking to reassure Their customers that their funds were Safe and distance themselves from Silvergate coinbase posted that in light Of recent developments and out of an Abundance of caution coinbase is no Longer accepting or initiating payments To or from silvergate so you know and They're trying to be preemptive on that You guys if people start freaking out And start pulling all their money out of Coinbase what do you think is going to Happen to coinbase the same thing that Happened at FTX and the same thing that Happened to silvergate they're trying to Slow down the Panic so that they Themselves you know don't don't have to Shut down their company and take Everyone's money this is wicked you guys Absolutely wicked stuff and again if I'm Reading this and I have crypto I'm done I'm done completely with crypto uh you Know for obvious reasons silvergate has Been under increasing pressure amid a Handful of high-profile bankruptcies in The crypto industry punctuated by the Collapse of FTX and criminal fraud Charges against founder sand bankman Fraud both FTX and sister company firm
Alameda research had Accounts at Silvergate a group of U.S senators led By Elizabeth Warren is looking into why Silvergate's anti-munder money Laundering and Bank Security Act Compliance programs failed to red flag Improp upper transfers between FTX and Alameda not good guys not good at all in January three top U.S Bank Regulators The Federal Reserve Federal Deposit Insurance or FDIC in the office of the Comptroller of the currency Warren Financial institutions of the high Liquidity risks associated with ask with Crypto asset deposits the agency pushed Banks to perform robust due diligence And ongoing monitoring so again you guys If it's me I'm not putting my my money In crypto I'm just not going to do it I Mean we've learned that right we've Learned that now it's not protected the Same way as FDIC in fact it may melt Down so much that it will affect normal Banks right really shocking stuff here It confirms the fears that many Regulators have had said Todd Baker As Senior fellow at Columbian University if This Bank fails it's going to be held up As an example of why Banks should be Extremely conservative in dealing with Crypto currencies in its SEC disclosure Silvergate noted other headwinds Including investigations from its Banking regulatories and the U.S
Department of Justice it also faces at Least three private lawsuits they're Getting absolutely crushed that's super Scary actually well we're not surprised To see these risk factors given the Recent inquiries by various regulatory Bodies this confirms that silvergate is Coming under significantly enhanced Scrutiny in the wake of the ftx's Bankruptcy I want to point out that the FDIC can't insure everyone's money if we Have several Bank runs the FDIC is Completely useless and in fact the FDIC Mostly exists to reassure people that Their money is safe and FDIC insured Banks but as we saw here with silvergate Even banks that are set up to protect The depositors money can have massive Failures within their lending Institution so really really scary stuff Here guys and in conclusion what this is Telling me is is we have to be really Really safe with our money maybe we Should just completely take it out of Anything risky stop investing in crypto Maybe we should look into gold or silver I don't know I don't have gold or silver Maybe we should look at the 10 you know Treasuries or bonds right that may be Way better but definitely what I have Decided to do is is I'm going to be Opening several different bank accounts Just in case right I don't want all of My money or most of my money in just one
Bank I can wake up tomorrow and have a Lost all of my money think about it you Guys super scary stuff we're just Providing awareness this is not the First time this has happened it already Happened with FTX it's gonna hurt a lot Of people and it's going to put even More pressure on our banking on our Current banking system which I would Argue is completely underwater right now But other than that guys I really hope You guys got some new insights value and Perspective from today's video and if You're out there investing in real Estate you know I wish you luck and I Hope you win
