Chase tries to calm its customers \ stacker news ~bitcoin

Chase tries to calm its customers www.chase.com/personal/investments/learning-and-insights/article/tmt-march-twenty-four-twenty-three

709 sats \ 8 comments \ @byzantine 25 Mar 2023 bitcoin

view all related items

72 sats \ 0 replies \ @siggy47 25 Mar 2023

That's the dangerous(or beautiful, depending on how you look at it) thing about bank runs. The more institutions try to reassure depositors, the more frightened they become. Once trust is lost, you can't get it back.

9 sats \ 0 replies \ @TNStacker 25 Mar 2023

Banking and the fiat system is a confidence (con) game. If they don't maintain the con they die.

15 sats \ 1 reply \ @tbonesteaks 25 Mar 2023

The banking system is, and has always been, built on confidence. When confidence comes into question, it can lead to a sense of panic that feeds on itself and becomes hard to contain. It also makes this situation very difficult to forecast with any precision.

“But we will continue this forecast article with endless qualifier like ‘it’s hard to know, but..’ and ‘it could spiral out of control, but…’”. Reading this made me nervous for chase and I wasn’t before I read it ha!

0 sats \ 0 replies \ @orthzar 25 Mar 2023

This is related to the Streisand effect. In this case, they aren't trying to hide/censor anything; they are trying to re-assure people. But saying "things are okay" causes people to start wondering what would be "not okay" -- and it turns out that the current situation is more "not okay" than "okay".

To make matters worse, very few people have any understanding of what banks do. Most people think it's just a place to store money, which is like saying that a car's fuel tank is only used to store fuel. Bank runs are the result of people assuming that savings and checking accounts are risk-free -- and the bank-runs begin when people realize that those accounts are far from risk-free.

2 sats \ 1 reply \ @tomlaies 25 Mar 2023

It's pretty interesting that talking about it does the opposite of calming everybody. Even that it's worthy of even talking about it, freaks people out.

And recently the ECB decided on not even say anything on CS and even that freaked people out. It's almost as if there is no way to do it right because the whole situation is flawed from the very beginning / its very architecture

0 sats \ 0 replies \ @xanny 26 Mar 2023

Ponzi schemes never hold up well when people start actually looking into them.

1 sat \ 0 replies \ @IHL 26 Mar 2023

Reading this actually made me feel much more concerned about the banking system.

0 sats \ 0 replies \ @aceloveiteasy22 25 Mar 2023 freebie

Quite interesting :)