Looks like they were flailing, tried to unload some bad bonds for needed cash, failed to find a buyer, this was noticed by vultures, who bet against it, they made a stink in the media, and the lemmings went rushing to withdraw their money, thus making it insolvent.
Turns out literally worthless assets are literally worthless. Crypto doesn't magically become useful just because it takes time and effort to make it.
Because the labor theory of value is and always has been false.
now do fiat.
Equally as worthless.
not equally. fiat is worth even less, because fiat can be inflated infinitely. BTC can't.
Fiat's value comes from the fact that the tax man demands to be paid in fiat. You will always need some lying around as long as you're paying him off.
Fiat currency can at least be used as toilet paper.
ask venezuela or zimbabwe... a single bill is worth less than a single sheet of toilet paper, and way scratchier on your booty hole.
Ah you mean military bonds.
Fiat has value because its backed by military. If a country refuses to accept USD they'll framed for 9/11 v2 and subsequently invaded.
silvergate already lost 98% of their value in the last year.
Looks like they were flailing, tried to unload some bad bonds for needed cash, failed to find a buyer, this was noticed by vultures, who bet against it, they made a stink in the media, and the lemmings went rushing to withdraw their money, thus making it insolvent.
Yes, they put it in long term bonds. Shit hit the fan and they tried to sell some to get cash, couldn't, and shit went nuclear because of it.
Credit Suisse wants you to turn your head and plug your ears.
They just downgraded all their bonds and cut the dividends. It's not looking good.