2:00:43 And again, as soon as Chase gets in here, I will go back to your calls, back to your spaces speakers. It's not really a call, your digital interface with us here on air today. But what I'm gonna do right now is air a very special report. that was done a few days ago, but now we've got it with Dr. Kirk Elliott. There's bank failures, Alex, that are happening that we predicted. I've been predicting it ever since Silicon Valley that there was going to be bank failures 2.0 that came. But I'm going to explain why and why there's going to be more coming because the FDIC is running out of money and the emergency- Well, Schiff said interrupt. Schiff said it's already started, but they're covering it over right now.
2:01:30 Yeah, I believe that that's the case. I mean, there's already three banks that supposedly went under that nobody heard about over the weekend. We heard about the one big one in Philly. So we're going to go over why and how detrimental this is to FDIC and everybody's bank account. So really, you can't leave because this is a huge, important story. You've been coming on for now five months. And I was covering your stuff years ago, but for five months, you've hammered bank runs, bank runs, regional bank runs, regional bank runs. And now there were three of them this weekend, almost no coverage. CNN covered one. FDIC says Republic First Bank is closed by Pennsylvania regulators. So it's exactly what you predicted, regional banks, it's now begun.
2:02:13 into normal traditional asset classes when the world falls apart, when banks are failing, when banks are running out of money. Why do banks run out of money? Because simply put, they have more withdrawals than they have deposits. That's why banks fail. It's not rocket science. And there's no doubt we're to that point. The bubble's collapsing. But if there's an economic crisis that's bad enough, people will give up a lot of stuff. This is what's happening. We've got bank failures. We've got wars. We've got rumors of wars. We saw bank failure 1.0. It was Silicon Valley, Credit Suisse, First Republic, Silvergate Bank. I mean, all of those. That was just a tremor before the bank. Yes, I think bank failures 2.0 is coming. I mean, just last week,
2:02:57 The CEO of Citigroup, the second, third largest bank in North America, said we're laying off 10% of our workforce. So the CEO of Citigroup last week basically said we're laying off 20 or 10% of our workforce, that's over 20,000 people. Well, why would a bank in a high interest rate environment you think, they're more profitable, they're making so much money? No, they are not. Because when most of America is living hand to mouth, month to month, paycheck to paycheck, and interest rates keep going up and inflation keeps going up. They can't live so they're taking more money out of the bank than they're putting in and there's delinquencies. A series of delinquencies leads to default. So it's a bank run in slow motion? Yeah, and I think that the bigger bank run is still coming. The one that we saw in March of last year was Silicon Valley Bank. So that's my question. What are the different ways this can unravel?
2:03:49 So, I think first there's a bank run people start to pull their money out. Then that creates crisis. Now they think, if my bank isn't safe, which should be the safest money that we have, it's a bank for crying out loud. You have this view of your assets in a bank vault full of like hundreds just sitting in this vault. That's not the reality. When you deposit money into a bank, It's basically a security instrument. The bank then goes and invests that in companies and stocks and bonds and mutual funds and everything else. Same thing you would except on a larger scale. But after the crisis of 2007 to 2009, they
2:04:27 They changed the way that banks deal with money. So most people don't realize this, but you don't own the money that you have in the bank, they do. So in 2009, they came up with a concept called beneficial ownership, meaning you gave up your ownership of your deposits to the bank. So we go back to spring of 2023, and The regional banking collapse started back, you had Silicon Valley Bank, you had all these underfunded banks, undercapitalized banks. And this all happened because of something that happened during COVID, Alex. So during COVID, Regulation D of the Federal Reserve said they could change the reserve requirement to zero. Okay, so that means for every $100 you would deposit in a bank, they could lend out $100 of it.
2:05:22 They didn't have to have anything held back. Now, why would they do this? They did this to stimulate the economy under the assumption of, hey, if we're lending money out, people are going to spend it, right? So that's why they reduced it to zero. And they were just hoping and praying, like we talked about on a previous show, that not everybody was going to want their deposits out at the same time via withdrawals. Well, sadly for some banks, that did happen. What happens when people are delinquent not making their payments and banks are already under capitalized? They're strapped for capital.
2:05:57 Well, in the past, ever since Silicon Valley Bank crisis, there was a program called the Bank Temp Funding Program, the BTFP. And it was an emergency funding program, kind of like TARP back after 2009 correction. So this emergency funding was there to stop bank runs So all these banks that are starting to fail Silicon Valley Bank, Signature Bank, Silvergate, Credit Suisse, First Republic, they were all starting to go under going to FDIC receivership. So this emergency funding program set it, like let's give these failing banks money so there's not a bank run so we can save the banking system in America.
2:06:40 Well, the end of January, that sunsets. They decided we're not gonna keep this going any. We're actually going to sunset this program. It expires on March 11th. That's where I came up with the March 11th date is because it's their date, not mine. They said no more emergency funding on March 11th. So what does that mean? It means when banks start running out of capital, when withdrawals are more than their deposits. Because Biden's horrible economic plan for America of lowering wages, raising taxes, raising prices via inflation. People are pulling money out of the bank just to survive. There's no deposits really going in. But in the past, they could go to the Fed, the banks could say, hey, this emergency funding program, this BTFP, we need money so our bank doesn't fail.
2:07:30 Too bad, so sad. This doesn't happen anymore as of March 11th and we've got problems. A recession is when somebody loses their job. A depression is when you lose your own, right? They get scared. They say, man, if that bank failed, The perception is that bank might be bigger than mine. What if my hard earned assets go away? What if my retirement goes away? What if my emergency fund goes away? And they start to pull it out and banks don't have enough. And meanwhile, Trump gets reelected, the Democrats activate Black Lives Matter in Antifa and burn the country down, which they promised to do. So bank failures, this is where after Silicon Valley Bank
2:08:10 Here's where there's even more theft. We talk about Russian theft, but there's theft of USS. So after Silicon Valley Bank went down, there's this huge gaping wound in the banking industry that banks were undercapitalized running out of money. And they came up with a basically an emergency funding package called Bank Temp Funding Program, which was injecting money into the system. And people were applauding the Fed and cheering and saying, great job, Fed, you stopped the bank runs. And there was only five of them that went under. All they did was put a Band-Aid on the escaping wound and they never healed the wound. So now March 11th, they took that Band-Aid off. The wound is still there because that emergency funding plan expired, it's sunset. So
2:08:51 We've talked about this, the next bank that fails is not going to be bailed out before it goes into FDIC receivership. There's gonna be no emergency funding. Just so happens, it just happened. So the first one didn't get any emergency funding, the Republic Bank in Philly, well, they went under. So let's look at this. Prior to Silicon Valley Bank, the FDIC had about 1.7 something percent of their assets to cover all the deposits in America. Only 1.7% of all deposits were covered by FDIC. After those first five banks failed in Silicon Valley Bank days,
2:09:33 It went down to 0.74. So the FDIC has less than 1% of all deposits in America covered, in fact, 0.74. So now you fast forward to today, a year later, almost exactly a year later, and this bank goes under. Well, it cost the FDIC $667 million. Yeah, so but when you look in these numbers it gets creepy because they have 6 billion in assets, $4 billion in deposits. So 667 was what FDIC had to cover. That reflects everybody that had $250,000 or less in their bank accounts. Well, they had $4 billion in deposits. So there's $3.3 billion that were over 250,000 banished.
2:10:25 It's not coming back, Alex. Those people aren't going to get it because FDIC doesn't cover anything over 250,000. There's no loan package emergency funding anymore from the Fed to take care of it. So-. And this is key. This is what you hammered five months ago on my show. You said they're out of emergency funding. And so they're trying now to just hide these stories. So you predicted what was coming. What comes next? The FDIC runs out of money. And I'm sorry to people of bad news folks, it's all over. We need to get ready now. People need to go to KEPM.com forward slash gold, KEPM.com forward slash gold. You need to get ready. This is the place to go. I love them. They're great sponsors. They're great people where you can call 720-605-3900.
2:11:12 In my opinion, you are insane if you don't get into silver right now and get some gold. And I wish I could do it. I'm under enemy attack. It's okay. It's fine. And I'm just looking at all of you wishing I was in the position you're in right now because I wish this wasn't the case, but I intellectually and spiritually know I'm 100% right. And I think you all know it too. We are screwed. But the good news is humanity's waking up and we're gonna turn this around. So buckle up folks, buckle up and get ready now because the greatest crisis of all of our lives is happening now. And I'm just the watchman on the wall, the Paul Revere telling you, the new world order's coming, it's here.