Rebel Capitalist News World's Largest SHADOW BANKS Are Using This Secret To Rig The System
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Apr 21, 2025 Banks are expertly exploiting regulatory loopholes to create unlimited money, focusing on Basel III's influence. They navigate reserve requirements through offshore entities, significantly impacting economic trends. A historical perspective reveals a pattern of regulatory evasion dating back decades. The discussion also highlights how flat yield curves create arbitrage opportunities while challenging misconceptions about the Federal Reserve's role. Thorough research is emphasized for understanding complex financial systems and advocating for free-market principles.
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Banks Create Unlimited Money
- Banks are unlimited money creators, not constrained by reserves or central banks.
- Regulations can't stop banks from expanding balance sheets if risk-reward justifies it.
Banks Bypass Reserve Requirements
- Banks bypass reserve requirements using non-bank entities like money market mutual funds.
- This offloading keeps official reserves low while money supply expands massively.
Offshore Entities Bypass Regulations
- Banks use legally separate offshore entities to reduce regulatory burdens with "arm's length" distance.
- These legal structures allow offloading of balance sheets away from consolidated regulatory audits.