As per Investment Watch Blog, “Trudeau inadvertently caused a bank run in Canada”. They report that “Canadians have lost trust in the government and the banks, and have begun pulling out their funds and life savings”. Social media is alive with comment.
Stopped by the bank on my way home to request all my funds only leaving enough for direct withdrawals like insurance. I overheard the couple in front of me, eastern European, requesting hundreds of thousands as well. Just between two clients, close to 1/2 a mil.
Nice job Junior! pic.twitter.com/gIW6HMjHV2
— V Ξ R N 2.0 🇨🇦 of the fringe minority (@inquiringmind76) February 16, 2022
Finbold.com banking news has also reported on this. They noted that five major Canadian banks mysteriously went offline in an hours-long outage on Wednesday. The financial institutions included the Royal Bank of Canada (RBC), Bank of Montreal (BMO), Scotiabank, TD Bank Canada, and the Canadian Imperial Bank of Commerce (CIBC). [A representative of TD Bank Canada later told Finbold that it did not experience any “widespread system outage or issue”.]
According to BleepingComputer.com, reports of online banking user troubles peaked Wednesday evening, but BleepingComputer was continuing to see an influx of such reports today. ATM troubles have also been reported, but it wasn’t yet clear if that is due to the outage.
The timing of the outage is very interesting, given it is just days after the tyrannical invocation of the new banking rules under the Emergencies Act, as outlined in our article yesterday, found here. It is relatively widely known that banks hold only a small percentage of deposits in available cash. It makes sense that if people lose their trust in their institution, they are going to want their money back. That will take down a bank. Think: “It’s a Wonderful Life”. You know that scene where George Bailey convinces everyone to trust him during the 1929 run on the banks…? Yeah, somehow, that just doesn’t seem so likely these days.