Banking Crisis in Cyprus that may affect all of Europe

Kebabbed by the Banko Kleftiko

Daily Mail-4 hours ago

Driving home from White Hart Lane on Sunday evening, I half-expected to discover there had been a ram-raid on the Southgate branch of the ...

 

This is an extremely important article regarding world finance. But I cannot quote it here. Please click on it to read it.

 

Basically, after listening to the PBS Newshour on TV, what has happened is this the European Union Banking system (like our Fed) told Cyprus banks basically paraphrased, "If you don't take 10% of all deposits of all depositors from all countries deposited in your banks your whole economy is going to collapse. So, people in Cyprus of all nationalities have been robbed of 10% of their monies and can't access any monies now even through ATMs until this Friday or Monday. 

 

Since this was forced by the European Union's version of the Fed this could happen other places like Italy or Portugal or Spain sometime in the near future. Also, it isn't know whether or not the repercussions of this extreme action to avoid the collapse of the state of Cyprus will reverberate all across Europe now and cause the potential collapse of other banks or banking systems there.

 

The people who had 10% of their monies in the banks permanently stolen by the government and banks are extremely upset because many are not Cypriots but are foreign nationals from Britain, Russia and many other nationalities. A lady who owns a business there said, "Most of my money is owned by my customers who have put deposits on Wedding dresses. It isn't even my money really. What am I supposed to do now?"

 

So, there likely will be many unexpected consequences by this extreme action by the european Union (Fed like) enforcement banking arm of the European union.

 

This extreme action was taken because the banks were going to collapse if this wasn't done because the banks have 800% more money than the state of Cyprus. So, literally they were 8 times too big to fail. This might also lead eventually to the breakup of U.S. banks that are also too big to fail. Because if they started to fail it is possible that 10% of all deposits here might be taken here to solve this kind of problem here too in the next 10 years or so. So, a potential breakup of European and U.S. banks might take place in response to this over the next 10 years or so.