Ben Hunt says, “Cut the BS! The Banks Are Solvent!"

There are bank runs and also rumors of more bank runs on the horizon. One side says, “the banks are insolvent, get to the lifeboats.” Another side says, “the banks are going to be fine…we’re sick and tired of doomers pulling the fire alarm.” Who’s right?

In this episode, we’re speaking with Ben Hunt who lays out the counterpoint details on why banks are going to be fine. He believes Balaji and Arthur are dangerously wrong. Tune in to hear why!  

TIMESTAMPS

0:00 Intro

6:55 Ben’s Crypto Credentials

10:36 Critiques of the Fed

16:55 Ben’s Understanding of Balaji’s Thesis

24:33 What Ben Believes is Untrue

33:42 Treasuries Are the Safest Assets?

43:34 Ben’s Objection

45:55 Icebergs

50:52 Fiat is Better?

57:45 Step Back for Society?

1:02:26 Checks on Power

1:07:39 Rules-Based Monetary Policy

1:12:30 How to Fix the Fed

1:15:35 Closing & Disclaimers

RESOURCES

Previous Debates

https://www.bankless.com/balaji-bets-the-dollar-will-hyperinflate-to-zero-not-a-drill

https://www.bankless.com/arthur-hayes-says-get-your-bitcoin-and-get-out

Ben Hunt

https://twitter.com/EpsilonTheory