The Banking Crisis Is Getting Worse
Channel: BTC Lighthouse
Date: 2023-03-19

Credit Suisse Bank, the 2nd largest Swiss bank, just got a $54 billion lifeline. Now it’s not a US bank and most of us do not bank with it so why does it matter that they are on the brink of collapse.

It matters cuz Credit Suisse is just one of 30 banks in the entire world which has the title of G-SIB, Global Systemically Important Banks. Basically this is the first G-SIB bank in the current crisis which had to be rescued cuz its failure would trigger a wider financial crisis and threaten the global economy. Basically, its too big to fail.

Credit Suisse manages $1.7 trillion worth of assets and so they are not allowed to fail.

News is just coming in that the largest Swiss bank, UBS might acquire Credit Suisse bank to save it.

Switzerland is preparing to use emergency measures to fast-track the deal and U.S. authorities are involved in the situation. 

The banking industry is getting even more centralised, The current banking crisis is only getting worse and trust is at all time lows.