Lebanese Financial Crisis

So uh…seems like peoples’ bank accounts have been frozen for quite some time. Short story is, entire banking system wound up being a ponzi scheme so all the money’s gone. People have been sticking up banks to be able to withdraw.

How will the government get themselves out of this one? I’m surprised they haven’t activated the money printing machine and hyperinflated their way out like all the other grifters.


Aren’t all financial systems basically a ponzi scheme? No banks have any thing close to the deposits they have taken in reserve. They work because people believe they work.

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Dunno if their system has minimum reserve requirement. What I think happened was that banks were offering unrealistic savings rates on accounts and then using money from new accounts to pay off what they owed on old accounts and then it all came tumbling down when foreign investors pulled out.

Other financial systems generally have assets with similar value to the deposits that are owed. That’s totally different than a ponzi scheme.