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Potential US Bank Collapse After Silicon Valley & Silvergate: Kiyosaki

Published 03/13/2023, 02:24 AM
Updated 03/13/2023, 02:30 AM
Potential US Bank Collapse After Silicon Valley & Silvergate: Kiyosaki
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  • Robert Kiyosaki warns of a potential third bank collapse, which could benefit precious metals.
  • Kiyosaki’s prediction aligns with his 2008 forecast regarding Lehman Brothers’ collapse.
  • Ongoing speculation about Credit Suisse’s future amid SEC call an all-time low shares.

Silicon Valley Bank and Silvergate Bank’s collapse in 48 hours has shaken the US financial system amid economic uncertainty. It’s expected to worsen, with a third lender potentially facing the same fate, according to Robert Kiyosaki, author of “Rich Dad Poor Dad.” Kiyosaki tweeted on March 10 that this situation would benefit precious metals.

Kiyosaki believes his prediction about a potential third bank collapse aligns with his 2008 forecast regarding the Lehman Brothers’ collapse. The Lehman Brothers’ failure was a defining moment that deepened the 2008 financial crisis.

Kiyosaki has previously predicted a global economic collapse and suggested that bank runs could accelerate during the crisis. His warning about a potential third bank collapse coincides with ongoing speculation about the future of Credit Suisse, another investment bank with a focus on cryptocurrencies.

Credit Suisse’s future is uncertain as the bank delays its annual report after a Securities Exchange Commission (SEC) call about its cash flow statements for 2019 and 2020. Shares hit an all-time low on March 10, 2023.

Additionally, in October 2022, real estate investor Graham Stephan shared that Credit Suisse could be in a critical moment, with its credit default swaps (CDS) reaching the highest level since 2008. Economist and crypto-skeptic Peter Schiff warns that the US banking system is on the verge of a bigger collapse than the 2008 crisis, and mass withdrawals could trigger bank failures.

Meanwhile, the collapse of Silvergate Bank, which primarily serves cryptocurrency entities, has caused concerns in the banking space. The bank attributed its decision to recent industry and regulatory developments. The collapse triggered a crypto market meltdown, resulting in significant capital outflow and a drop in Bitcoin (BTC) prices.

Silicon Valley Bank’s exposure to crypto and technology start-ups was also shut down and taken over by regulators. The closure has affected the crypto market, with Circle revealing that some of its reserves were held at SBV, causing the USDC stablecoin to debug from the dollar to $0.91.

The post Potential US Bank Collapse After Silicon Valley & Silvergate: Kiyosaki appeared first on Coin Edition.

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