Cardano Crypto Boss Charles Hoskinson: Banking Crisis Caused By Large Money Printing

Cardano founder Charles Hoskinson revealed the cause of the bank's collapse in the US. (Photo; Doc. Pumpmoonshot)

JAKARTA - A number of banks in the US have been bankrupt and have been investigated by regulators in recent weeks. The main problems stem from poor liquidity and assets that are considered too high on the balance sheet. Some of the collapsing banks are Silvergate, Siganture Bank, Silicon Valley Bank, and Credit Suisse.

When the asset was executed for distrust and requests for withdrawing money, the institution was forced to admit losses to assets deemed too high to pay for withdrawals, which undermine their balance sheets.

On March 12, the Fed announced emergency measures to address the issue. The Term Bank Financing Program (BTFP) will provide additional liquidity to financial institutions through loans as much as the parival value of the assets held. This action may have calmed fears of bank bankruptcy that will soon occur among the general public.

Even so, Hoskinson shifted the talks to the inevitable survival of the bank. He said that Things that seem permanent and stable, can actually change quickly, even though this is not to be recognized by many people.

Hoskinson also talked about old finances, saying that the current problem is always expected because the banking system is a Ponzi scheme. This system takes other people's money, and banks use the money to double and create money from empty air. When the banking model fails, losses are socialized and the public is expected to bear the loss collectively.

Hoskinson added that the system has damaged a 95 percent dollar value over the past 100 years, forced the doubling of the money supply in the last three years, and was responsible for its "bad and despicable behavior". According to Hoskinson, crypto is an "emergency vent" for this system as it provides alternatives to its evil practices.

Although this crisis stems from unsustainable Ponzinomics', there is a growing narrative that cryptocurrencies are guilty. Hoskinson rejects the idea that cryptocurrencies are responsible for the crisis. Instead, he pointed to the printing of money and fractional reserve banking needed to maintain and manage the money system. Hoskinson said that power'' makes crypto a scapegoat for the banking crisis.