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Furious Backlash Forces HSBC To Scrap Large Cash Withdrawal Limit

Tyler Durden's picture




 

Following the quiet update that HSBC had decided to withhold large cash withdrawals from some if its clients - demanding to know the purpose of the withdrawal before handing over the customers' money - it appears the anger among the over 60 thousand readers who found out about HSBC's implied capital shortfall just on this website, has forced HSBC's hands.

The bank issued a statement (below) this morning defending their actions - it's for your own good - but rescinding the decision - "following feedback, we are immediately updating guidance to our customer facing staff to reiterate that it is not mandatory for customers to provide documentary evidence for large cash withdrawals." After all the last thing the bank, which over the past few years has been implicated in aiding an abetting terrorists and laundering pretty much anything, wants is an implied capital shortfall to become an all too explicit one.

Via HSBC - Statement On Large Cash Withdrawals

25 Jan 2014

 

As a responsible bank we ask our customers about the purpose of large cash withdrawals when they are unusual and out of keeping with the normal running of their account. Since last November, in some instances we may have also asked these customers to show us evidence of what the cash is required for. The reason being we have an obligation to protect our customers, and to minimise the opportunity for financial crime. Large cash transactions have inherent security issues and leave customers with very little protection should things go wrong, by asking customers the right questions, we can explore whether an alternative payment method might be safer and more convenient for them.

 

However, following feedback, we are immediately updating guidance to our customer facing staff to reiterate that it is not mandatory for customers to provide documentary evidence for large cash withdrawals, and on its own, failure to show evidence is not a reason to refuse a withdrawal. We apologise to any customer who has been given incorrect information and inconvenienced.

Indeed, as one HSBC customer exclaimed, "you shouldn't have to explain to your bank why you want that money. It's not theirs, it's yours."

 

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Sun, 01/26/2014 - 14:26 | 4368610 williambanzai7
williambanzai7's picture

..

 

By:  @blumaberlin

Sun, 01/26/2014 - 14:28 | 4368623 Richard Chesler
Richard Chesler's picture

Bank run motherfuckers!

Sun, 01/26/2014 - 14:31 | 4368635 Oh regional Indian
Oh regional Indian's picture

They need retail customers only for penny fleecing. Their big business os everything black, laundering...weapons deals, drugs deals, dictator deals...

Bad bank....bad bad bank...

ori

http://aadivaahan.wordpress.com/2014/01/26/the-homo-sexual-oxymoron-dis-...

Sun, 01/26/2014 - 14:36 | 4368644 So Close
So Close's picture

HSBC - Trying to make our problems your problems.  Trying to make your money our money

Sun, 01/26/2014 - 14:41 | 4368657 johngaltfla
johngaltfla's picture

Imagine that; wanting your own money back. Just leave it in the bank and let the central banksters' inflation erode it like the rest of us do.

Sun, 01/26/2014 - 14:53 | 4368704 kliguy38
kliguy38's picture

now the real bank run will begin.............

Sun, 01/26/2014 - 15:01 | 4368725 WarriorClass
WarriorClass's picture

Diversity:

Eventually, Americans will realize that we haven’t had a representative government since 1860, when big business got Lincoln into office and then declared war on the States. Free market capitalism died at the same time, we just didn’t realize it until 1913 when the Bankster cartel formally took over the Federal monopoly on power and money. We’ve had a fascist dictatorship since then and your vote has meant exactly squat. The only way to return to a Jeffersonian Representative Republic is the way our Founders did it in 1775.

Eventually, when Americans find that every person in the world is entitled to a job in the USA, except for them – all in the name of diversity. When they find themselves a dirt poor minority in the country their fathers founded. When they find out that diversity is not THEIR strength, but the strength of their enemies.

Eventually, but not today. Today many Americans will go to work at their corporate jobs chanting the mantra, “Diversity is our strength;” until it isn’t.

And it’s too late.

 

Supply and Demand:

The law of supply and demand dictates that an increase in supply results in a lower price.

An increase in the supply of labor, results in lower wages.

If you want to cut wages in half, double the workforce.

Almost half of the US population is here due to the Immigration Reform Act of 1965 and its subsequent iterations. Add to that the massive amount of work visas, student visas, and refugee visas, and you have doubled the labor market.

Comprende?

http://americandictators.blogspot.com/2013/07/legal-immigration-and-immi...

Sun, 01/26/2014 - 15:27 | 4368793 strannick
strannick's picture

HSBC Q: "why do you want to withdraw your dollars?"

Depostitor A: " None of your @#%& business. But since you asked, to buy silver"

Sun, 01/26/2014 - 15:32 | 4368808 Pinto Currency
Pinto Currency's picture

 

From the article above: "you shouldn't have to explain to your bank why you want that money. It's not theirs, it's yours."

That is wrong.  Bank depositors are unsecured creditors.  The money is the bank's and that is part of the problem.

 

HSBC depositors were probably starting to close accounts and that is probably why they changed their policy.  Don't want the muppets voting with their feet or the bank's feed.

Sun, 01/26/2014 - 15:41 | 4368833 fonestar
fonestar's picture

fonestar's chequing account is $14 overdrawn as we speak.  Savings account is $0.

If Stephen Poloz so chooses, he can bail it in.

Sun, 01/26/2014 - 16:16 | 4368930 wintermute
wintermute's picture

Meanwhile surveillance-bankster-government cash transaction limits of 1500 euros persist in continental Europe.

Sun, 01/26/2014 - 16:36 | 4368971 Oracle of Kypseli
Oracle of Kypseli's picture

This story shows us the power Zerohedge. I bet someone at the bank was really scared of a trigger for a bank run. If not in singapore or HK, maybe in the UK

Sun, 01/26/2014 - 16:40 | 4368995 knukles
knukles's picture

Regardless, it's still Bush's Fault

Sun, 01/26/2014 - 16:52 | 4369017 Deo vindice
Deo vindice's picture

Read their statement carefully. It is crafted with deliberate intent to deceive. They do not say that you are guaranteed to get your money out if you ask / demand it.

What they said is:

"... following feedback, we are immediately updating guidance to our customer facing staff to reiterate that it is not mandatory for customers to provide documentary evidence for large cash withdrawals, and on its own, failure to show evidence is not a reason to refuse a withdrawal."

IOW - they can still refuse to give their customers their money for other reasons than "failure to show evidence" of why they want it!!

Sun, 01/26/2014 - 17:01 | 4369044 knukles
knukles's picture

Or just because you're a customer.

Sun, 01/26/2014 - 18:08 | 4369173 kaiserhoff
kaiserhoff's picture

Lately, the world seems to be full of bankers who have no understanding of the banking function.  Someone needs a trip to the wood pile.

Sun, 01/26/2014 - 18:26 | 4369221 TruthInSunshine
TruthInSunshine's picture

There should be an organized, concerted effort by HSBC customers to withdraw almost their funds.

Let 'The Great Run On The Wankin' Phukin' Bankers Of 2014' kick off with HSBC & spread like wildfire from there.

Sun, 01/26/2014 - 19:05 | 4369332 ayanni
ayanni's picture

Fuck HSBC.  When you Webster "predatory global bank" HSBC is what you find.  A decade ago their strategy to gain exposure additional exposure to the USA was to purchase Household - speaking of predatory...

http://www.nytimes.com/2002/11/15/business/hsbc-to-buy-a-us-lender-for-1...

Sun, 01/26/2014 - 19:07 | 4369333 ayanni
ayanni's picture

Fuck HSBC.  When you Webster "predatory global bank" HSBC is what you find.  A decade ago their strategy to gain additional exposure to the USA was to purchase Household - speaking of predatory...

http://www.nytimes.com/2002/11/15/business/hsbc-to-buy-a-us-lender-for-1...

Sun, 01/26/2014 - 19:39 | 4369401 ForWhomTheTollBuilds
ForWhomTheTollBuilds's picture

"There should be an organized, concerted effort by HSBC customers to withdraw almost their funds."

 

I've counted so many events that should have been trigger points for just that, that I've given up.  The idea that this game will end becauase the man in the street says so seems hopelessly naive to me (even though I still think it should happen).

 

Anyway, the reason it doesn't happen in this case, I think, is because the number of westerners in a position to withdraw $10,000 in cash is so vanishingly small that even if they all did just what you suggest it wouldn't have any effect.  

 

So the bank treats them worse than the guy with $10 in his account and *much* worse than the mortgage payer with the same amount since both people are likely huge revenue sources for the bank.  Those who do such things as save 6 months emergency expenses are so far outside the norm that we now suspect them of being drug dealers when we find out about their stash.  

 

"Well, isn't that sad?  You are whining about your troubles taking large amounts of cash while the rest of us are paying 25% on a CC.  Cry me a river."  I think this is the more likely response of the masses to the story above.

 

Yeah, I was outraged by it too.   But most of the people who are not me could give a shit.

Sun, 01/26/2014 - 17:02 | 4369049 jbvtme
jbvtme's picture

nice work, TD.  and i still have a complete load in my magazine.

Sun, 01/26/2014 - 19:45 | 4369412 TruthInSunshine
TruthInSunshine's picture

News Headline Summary

PBoC has ordered commercial banks to halt cash transfers

Says:
- There will be a three-day suspension of domestic renminbi transfers. There will also be a suspension, spanning nine calendar days, of conversions of renminbi to foreign currency.

Full article: http://www.forbes.com/sites/gordonchang/2014/01/26/china-halts-bank-cash...

*So many COINCIDENCES lately.

Sun, 01/26/2014 - 17:31 | 4369111 knukles
knukles's picture

Or just because you're a customer.

Sun, 01/26/2014 - 17:19 | 4369078 WillyGroper
WillyGroper's picture

I or II ?

Sun, 01/26/2014 - 18:31 | 4369233 DutchR
DutchR's picture

Hippy

Sun, 01/26/2014 - 17:24 | 4369088 HobbyFarmer
HobbyFarmer's picture

Fonestar says his chequing account is $14 overdrawn.

You're growing on me, kid.

Mon, 01/27/2014 - 00:17 | 4370208 i-dog
i-dog's picture

Coincidentally, that is also the positive balance in his BitCon wallet. He's a veritable mogul!

Sun, 01/26/2014 - 19:09 | 4369342 Spanky
Spanky's picture

-1

For...

fonestar's chequing account is $14 overdrawn as we speak.  Savings account is $0.

Then fonestar is not objective about bitcoin, and all his observations and pronouncements are prejudiced.

Sun, 01/26/2014 - 15:45 | 4368845 akak
akak's picture

Maybe every depositer with HSBC should ask the teller before making their deposit: "Now WHY do you want my money, and what are you going to do with it?".

Sun, 01/26/2014 - 16:44 | 4369003 nmewn
nmewn's picture

Sounds very reasonable ;-)

Sun, 01/26/2014 - 18:04 | 4369170 logicalman
logicalman's picture

Great idea, I think, if I had a bank account, I'd ask that one for sure!

Sun, 01/26/2014 - 18:09 | 4369176 BoNeSxxx
BoNeSxxx's picture

Techincally depositors are unsecured creditors only on deposits in excess of the FDIC (in the US) insured limit, no?

^^^^ This is not to say the the FDIC is solvent ^^^^

As an aside, it is possible for a family of 4 to insure about $2,000,000 via creative account dispersal.  Husband, Wife, Husband and Wife, Husband custodian for Kid1, Husband custodian for kid2, etc...

Mon, 01/27/2014 - 01:32 | 4370354 BuddyEffed
BuddyEffed's picture

Shouldn't it be, or isn't it such that the money is yours unless the bank is under duress and there is some emergency action or enforcement action in effect?

Sun, 01/26/2014 - 18:11 | 4369188 Lumberjack
Lumberjack's picture

HSBC Q: "why do you want to withdraw your dollars?"

 

A: To short your stock.

Sun, 01/26/2014 - 15:30 | 4368803 Pinto Currency
Pinto Currency's picture

-

 

 

 

Sun, 01/26/2014 - 18:19 | 4369205 DutchR
DutchR's picture
( . )( . )

 

see if i gett more up votes ;)

Mon, 01/27/2014 - 00:52 | 4370291 OldPhart
OldPhart's picture

\_/  at times like these, beer is better

 

Sun, 01/26/2014 - 15:31 | 4368814 Simplifiedfrisbee
Simplifiedfrisbee's picture

Because immigration is only for those who can successfully invade, destroy, conquer, and legislate.

The war has never been from the world in. Rather it has been from within.

Sun, 01/26/2014 - 20:08 | 4369476 chemystical
chemystical's picture

and let us not forget the other voting block

those who work for their living are being squashed by those who vote for their living.

my observation and the accompanying anger and disappointment demonstrate the success of the divide and conquer crowd. 

Exactly who is it that funds and directs those efforts to twist and pervert our souls? 

the 1st link is a nauseatingly lengthy list of Who's Who (rhymes with Who's Jews) in the LBGT agenda. 

http://stopcg.wordpress.com/2013/06/09/the-homosexual-agenda-is-jewish/

http://www.timesofisrael.com/us-jews-among-the-most-supportive-of-gay-marriage/

http://www.jpost.com/Jewish-World/Jewish-News/Jewish-Boy-Scouts-of-America-leaders-support-gay-rights-312760

Civil Rights in the US?  Ironic that the same kosher nostra that imported the Negro slaves should later name themselves palladin of Negro rights.  NAACP was distinctly kosher and didn't have a black leader until nearly 60 years after its founding.  Guess the Jews know best and can't trust them darkies to run their own affairs.  (Some things never change: see the Democratic Party).  At least half the instigators in Mississippi in 1964 were Jews.  2500% over-representation, hmmm.  Sow them seeds.

Wanna know who's behind the agenda to teach kid as young as 8 that touching themselves and eachother is fun?  Or that it's cool for Bobby to have 2 daddies?  Or that abortions are hunky dory?  (Gotta let that goy blood flow).  Yeah, right, take a wild fucking guess.

http://www.enquirer.com/editions/1998/10/25/loc_sexed25.html

"The training sessions...teach how to persuade "resistent audiences," including Catholics, parents, communities and others."  Hmm, more brainwashing like the kind that AG Eric Holder admitted was in his "guns are bad" agenda.

Yeah, I'm divided and conquered alright.  Conquered by good, and separated from evil pieces of filth.

Sun, 01/26/2014 - 21:48 | 4369845 StychoKiller
Sun, 01/26/2014 - 15:05 | 4368742 Looney
Looney's picture

HSBC's ATMs should be called Landromats. Bitchez! ;-)

Looney

Sun, 01/26/2014 - 17:22 | 4369084 WillyGroper
WillyGroper's picture

I kinda like "Washateria"

Sun, 01/26/2014 - 15:19 | 4368779 Wile-E-Coyote
Wile-E-Coyote's picture

Yeah anyone with money in HSBC would be a mug to leave it there.

Sun, 01/26/2014 - 16:15 | 4368932 EscapingProgress
EscapingProgress's picture

HSBC customer: "...you shouldn't have to explain to your bank why you want that money. It's not theirs, it's yours."

HSBC banker: "...you shouldn't have to explain to your customer why they can't have that money. It's not theirs, it's ours."

The muppets are always wrong. What purpose is there in keeping money at a bank anyway? Slightly less negative negative real returns compared to stuffing it in your mattress in your underground bunker?

Mon, 01/27/2014 - 01:41 | 4370374 cynicalskeptic
cynicalskeptic's picture

Given HSBC's record of laundering drug money you THINK they'd be asking questions when someone is looking to deposit a few million in cash.... but NOOOOOOOO........   

they're only worried if one of the peasants wants to withdraw a few thousand?

Sun, 01/26/2014 - 15:41 | 4368828 wee-weed up
wee-weed up's picture

 

 

Yep, this time was just a trial run...

Next time it will be armed guards and locked doors!

Sun, 01/26/2014 - 16:25 | 4368955 XenoFrog
XenoFrog's picture

I sure hope none of you have anything of value in those safety deposit boxes. Prepare to say goodbye.

Sun, 01/26/2014 - 23:59 | 4370179 fedupwhiteguy
fedupwhiteguy's picture

for those of you that need a safe deposit box, look for a private entity in your city that offer that service. As an example:

 

http://www.bluevaultsecure.com/safe-deposit-boxes.php

 

http://www.securityvaultinc.com/

 

the later even lets you register as an anonomous entity!!!! for $10 per box per year!!!

 

These private entities are not affiliated with any federal or state banking institution.

Sun, 01/26/2014 - 17:12 | 4369063 LMAOLORI
LMAOLORI's picture

 

"now the real bank run will begin"

 

Your comment made me wonder if HSBC is considered too big too fail (TOO BIG TO JAIL) list. I should have guessed as much..

 

FSB pushes JPM and HSBC into the top of the too big to fail table

http://www.forexlive.com/blog/2013/11/11/jpm-and-hsbc-into-the-top-of-th...

 

Guess who else they want to add to that friggin list now - Crony Buffet's Berkshire-Hathaway!

 

Dad, Someday Can I Grow Up to Be Too Big to Fail?

http://www.bloomberg.com/news/2014-01-23/dad-someday-can-i-grow-up-to-be...

Sun, 01/26/2014 - 14:44 | 4368675 TeamDepends
TeamDepends's picture

At HSBC, our state-of-the-art laundering facilities ensure that your filthy money will be returned to you as clean as a whistle.

Sun, 01/26/2014 - 14:55 | 4368710 RafterManFMJ
RafterManFMJ's picture

you shouldn't have to explain to your bank why you want that money. It's not theirs, it's yours.

 

The wise, learned ZeroHedge readers know this is in fact untrue. And someday soon, the unsecured lenders known as 'depositors' may learn this fact, much to their sorrow.

Sun, 01/26/2014 - 14:59 | 4368722 madtechnician
madtechnician's picture

Bitcoin , Bit-chez ..

Sun, 01/26/2014 - 15:23 | 4368785 Winston Churchill
Winston Churchill's picture

In a prolonged bank holiday exactly how will BTC help again ?

Its a currency not a SOV. So won't it just be trapped digits in an account,

like a bank balance.

Sun, 01/26/2014 - 16:26 | 4368953 madtechnician
madtechnician's picture

The bitcoin network is totally independant of the banking system. Even if every bank in the world closes it's doors you can make unlimited bitcoin transactions to any other bitcoin wallets in the world almost instantly and at no cost.

Sun, 01/26/2014 - 16:28 | 4368962 XenoFrog
XenoFrog's picture

And if/when the government turns off the electrical grid (false flag terrorist attack), and the one or two stores in your city who took bitcoin to drum up some gimmick sales are now only accepting hard currency, what then?

Sun, 01/26/2014 - 16:45 | 4369000 madtechnician
madtechnician's picture

Turn off the fucking grid to stop bitcoin ? Do you have any understanding of what will happen if the electrical grid or internet goes down ? NOTHING will work you idiot - NOTHING AT ALL .. No ATM machines , no banking , no cash registers , No Air Traffic Control , no navigation , no phones , no TV , no radio , no traffic lights , no oil production , no fuel distribution , eventually nuclear power plants cooling systems will shut down when they run out of diesel  , life as we know it would be over within 60 - 90 days. All that just to stop bitcoin ? Grow a brain you fucking Moron.

Sun, 01/26/2014 - 16:48 | 4369014 nmewn
nmewn's picture

Actually, they can turn off the internet anytime they want.

Sun, 01/26/2014 - 16:55 | 4369027 madtechnician
madtechnician's picture

When they turned the internet off in Egypt , within 3 days the entire country was in total chaos and the government was overthrown. Do you realise that the entire western banking and communications systems are running over the internet ? Even the traffic lights are now running over the internet Shut down the internet , you shut down EVERYTHING.

Sun, 01/26/2014 - 17:07 | 4369054 nmewn
nmewn's picture

Your internet goes back to a POP, right there is where they can restrict access to anyone (as in Egypt) or let anyone else go through if they want. And as we have just verified, the cable companies & telcos will do exactly as they are told by any .gov regarding access.

Sun, 01/26/2014 - 17:29 | 4369104 WillyGroper
WillyGroper's picture

Why would they even have to go to the POP when they know your IP address?

Sun, 01/26/2014 - 17:33 | 4369112 madtechnician
madtechnician's picture

They dont have to know your IP address , ever heard of TOR ?

Sun, 01/26/2014 - 19:13 | 4369352 Tim_
Tim_'s picture

The Inside Story of Tor, the Best Internet Anonymity Tool the Government Ever Built


"That’s ironic, because Tor started as a project of the U.S. government. More than half of the Tor Project’s revenue in 2012, or $1.24 million, came from government grants, including an $876,099 award from the Department of Defense, according to financial statements available on the project’s website."

"Paul Syverson at the U.S. Naval Research Laboratory in Washington is one of the world’s foremost researchers on encrypting and routing data and one of Tor’s creators."

"For the onion router to work properly, the Navy needed to step back from running it. A cloaking system is not useful if all the cloaks say 'Navy' on them."

"Syverson and other researchers have written voluminously about Tor’s weaknesses. The network operates within the wider Web, and the way users behave and configure their computers outside Tor is one of the biggest sources of insecurity."

"One way the NSA found to get around Tor’s software and spy on users was an attack called 'EgotisticalGiraffe,' exploiting a vulnerability in the Firefox browser. Another approach was to try to reconstruct the encrypted path to find the identity of a Tor user by monitoring relays, according to the 'Tor Stinks' presentation."

"Tor exerts little control over who volunteers to host traffic, and researchers have found evidence of abuse, such as cases where an operator is snooping on traffic."

"In September a security researcher, Robert Graham of Errata Security, analyzed almost 23,000 connections to a relay he’d set up, and concluded that the majority were vulnerable to NSA decryption. Three-quarters of the traffic he monitored used an older version of Tor based on encryption keys that 'everyone seems to agree' the NSA can break, he wrote."

"Yet because of Snowden, we now know that the NSA has been working to unpeel the protective layers built by the Tor system."

"'With manual analysis we can de-anonymize a very small fraction of Tor users,' one slide reads."

"Tapping the line before it enters the Tor network can reveal the origin of the traffic"

"Tapping the line after it emerges from the Tor network can reveal the destination and the content"

Sun, 01/26/2014 - 20:03 | 4369465 WillyGroper
WillyGroper's picture

You really are thick as a plank.

Sun, 01/26/2014 - 20:41 | 4369605 Iam_Silverman
Iam_Silverman's picture

"When they turned the internet off in Egypt , within 3 days the entire country was in total chaos and the government was overthrown."

Yup.  Once, when they were trenching in a new customer down the road, they cut our phonelines.  The county was reduced to rubble in one day, and shortly after that Bin Laden was seen strolling to the Somervell County Courthouse.  That internet is some powerful shit, no doubt.......

 

Do I really need a <fon.Sarc/on> tag?

Mon, 01/27/2014 - 04:39 | 4370549 madtechnician
madtechnician's picture

Another Moron - not talkiing about a couple of phone lines , these idiots are talking about shutting down the entire internet and the power grid to stop bitcoin.

Sun, 01/26/2014 - 16:58 | 4369038 madtechnician
madtechnician's picture

And besides , bitcoin uses a de-centralised globally distributed ledger , so they would have to shut down the internet in every single country in the world. Good luck with that.

Sun, 01/26/2014 - 17:10 | 4369058 nmewn
nmewn's picture

The Egyptians could use BitCoin without the internet? ;-)

Sun, 01/26/2014 - 17:38 | 4369122 madtechnician
madtechnician's picture

Nope , they could not use ATM machines or POS terminals either , that's why the country was thrown into chaos. You want to try that in the west ?

Sun, 01/26/2014 - 18:15 | 4369196 nmewn
nmewn's picture

You're throwing out some bad info here dude.

Egypt-Was-Already-In-Chaos-When-They-Pulled-The-Plug...it was not a case of Egypt cutting off the internet and THEN BEING THROWN INTO CHAOS.

You have it exactly backwards.

Sun, 01/26/2014 - 18:28 | 4369225 madtechnician
madtechnician's picture

Nope , fb and twitter feeds were going nuts calling for a revolution , that was when they pulled the plug.

Sun, 01/26/2014 - 18:45 | 4369265 nmewn
nmewn's picture

Street protests started 1/25/11 in Cairo my man, they pulled the plug 1/27/11.

http://gizmodo.com/5745478/is-internet-access-a-human-right?skyline=true&s=i

Stop.

Sun, 01/26/2014 - 18:52 | 4369274 madtechnician
madtechnician's picture

The real shit storm started after the internet was cut off. Stock Market went off line , cellphone networks off line , all ATM , banking and retail POS off line , then the countries infrastructure began to shut down with power outages and water supplies shut down , even some government communications went off line , all due to lack of internet connectivity. Then there was a revolution. In fact if you look at the timeline if they did not shut down the internet there is a possibility there would not have been a revolution.  Western infrastructure is far more dependant on the internet than Egypt ever was. Shutting down the internet to stop bitcoin would be absolute suicide for a government.

Sun, 01/26/2014 - 18:53 | 4369296 nmewn
nmewn's picture

And your point about BitCoin being a superior currency was what...again? ;-)

Sun, 01/26/2014 - 19:47 | 4369413 Pure Evil
Pure Evil's picture

I just love that clinking sound when I shake my virtual wallet. I knowes my bitcoins are still in there!

Sun, 01/26/2014 - 20:15 | 4369511 nmewn
nmewn's picture

Yeees, nothing says virtual wealth like it being virtually there ;-)

Sun, 01/26/2014 - 19:14 | 4369353 Spanky
Spanky's picture

They don't have to shutdown the world. Just you.

Sun, 01/26/2014 - 20:32 | 4369568 chemystical
chemystical's picture

Why do you insist on prattling on about "shutting down the entire Internet"??

Partitions thereof can be switched off in the blink of an eye.  "How do they know which ones to shut off?" you ask.  Oh, gee, maybe those with terminus whose owners advertise, "We accept Bitcoin?"  If vendors stop advertising that, then your network is functionally minimzed and is kaput with the exception of P2P involvingparties who know and trust eachother. 

Trust insurance via escrow providers will vanish too.  Bitpay's terms of service page flat out states that they can share every bit of your data with other parties including banks and government.  And Bitpay is not self-insured.  They're just the facilitator.  If Uncle says "cease and desist" there won't be a counterparty who can or will provide the amount of risk insurance necessary for any meaningful commerce network.

And it's not as if there's not a unique signature jumping up and down waving, "Hey! I'm transacting in Btc".

Dream on.  You sophmoric addlepated twats act as if it's your internet and your SHA256 and your tor.  Flat out wrong on all 3 counts.  That should tell you something.  Cognitive dissonance is epidemic in some circles.

Mon, 01/27/2014 - 05:27 | 4370573 madtechnician
madtechnician's picture

Hey man , I know it's turning into an open air prison over there , but I am not in the US , and bitcoin is a globally distributed de-centralied network which does not respect or acknowledge borders.

Sun, 01/26/2014 - 17:23 | 4369082 LMAOLORI
LMAOLORI's picture

 

 

"Actually, they can turn off the internet anytime they want."

 

And they want to make sure they keep it that way too they just came up with another plot disguised as freedom (err I mean plan) in Davos in response to Snowden's outing them.

 

Global group to look at ways to preserve internet freedom

http://www.cbc.ca/news/business/global-group-to-look-at-ways-to-preserve...

Sun, 01/26/2014 - 21:17 | 4369740 nmewn
nmewn's picture

I instinctively run away with my hair on fire (just like you do) from these attempts at setting parameters, sign posts, regulations.

If anything can be fucked up, leave it to a "world body" of academics & politicians to do it, its why the world is what it is now. Leave it the hell alone, along with the free ranging sharing of ideas, insults, knowledge, comedy, enlightenment...it leads to a better understanding for all but the addle brained.

Yes, it has detours and dead ends but the last thing it needs are statist moderators.

Mon, 01/27/2014 - 00:58 | 4370305 OldPhart
OldPhart's picture

You forgot Porn, God help you...

Sun, 01/26/2014 - 23:20 | 4370095 Escapedgoat
Escapedgoat's picture

My Internet was turned off, EXCACTLY 24 HOURS. "Broken cable" was the excuse, affecting entire neighbourhoods, that was true up to a point.

Upon inquiring my next door neighbour, ltterally, her's  WAS WORKING. WTF

Sun, 01/26/2014 - 16:55 | 4369032 Mae Kadoodie
Mae Kadoodie's picture

...Not a single luxury.  Like Robinson Carusoe, it's primitive as can be.

Sun, 01/26/2014 - 17:00 | 4369046 madtechnician
madtechnician's picture

Much worse than Robisnson Crusoe , because every nuclear power plant would be on fire from a lack of power to it's cooling systems.

Sun, 01/26/2014 - 17:57 | 4369153 Spanky
Spanky's picture

Oh please. Let's just call this what it is -- bullshit.

Sun, 01/26/2014 - 20:46 | 4369623 Iam_Silverman
Iam_Silverman's picture

"because every nuclear power plant would be on fire from a lack of power to it's cooling systems."

Yup, no doubt.  That internet is some powerful shit.

It powers the Residual Heat Removal systems of Nucularrr plants, and probably also the core spray systems (BWR), containment spray (PWR, function of RHR in BWR's) and all of the mechanical safety relief valves - as well as HPCI (BWR's) and Auxiliary Feed Systems!  That must be why we have always had a T-1 trunk at the plant?

Mon, 01/27/2014 - 20:46 | 4370555 madtechnician
madtechnician's picture

These assholes are talking about shutting down the entire electrical grid and the internet to stop bitcoin. Please tell me what would happen in a grid shutdown once all the diesel for the plant backup generators had run out ? Due to non delivery ? Oh , and please dont talk about a single T-1 into a power station , these would have multiple redundant connections for critical communications to control centers , sub station's and other plants , if these connections were lost the plant would lose grid synchronisation and be shut down immiediately , the diesel powered backup generators for cooling would be started up , the plant would then be in a full emergency situation.

Sun, 01/26/2014 - 17:26 | 4369100 WillyGroper
WillyGroper's picture

Before calling others a "Fucking Moron", you might want to see if you have a "Smart Meter" on your living quarters.

Dumb A$$

Sun, 01/26/2014 - 17:40 | 4369125 madtechnician
madtechnician's picture

Anybody who thinks they will shut down the electricity grid to stop bitcoin is a Fucking Moron.

Dumb A$$

Sun, 01/26/2014 - 19:08 | 4369341 DutchR
DutchR's picture

Carrington event, checkmate..

 

 

Sun, 01/26/2014 - 19:25 | 4369376 akak
akak's picture

The center-thinking zitpoppers will only laugh at you for bringing up the very real (inevitable, in fact) possibility of an EMP, because since it has not happened in their 20-odd years of existence, it obviously therefore can not and WILL not happen, ever.

Sun, 01/26/2014 - 20:18 | 4369524 DutchR
DutchR's picture

Sometimes it's so hard to exxplaine milk does not come from the supermarket......

 

thanks

Mon, 01/27/2014 - 01:00 | 4370311 OldPhart
OldPhart's picture

Whaaa?

Milk comes from plastic jugs.

It used to come from paper cartons.

Mon, 01/27/2014 - 06:55 | 4370629 DutchR
DutchR's picture

"Milk comes from plastic jugs.

 

You live in California?

Mon, 01/27/2014 - 04:46 | 4370557 madtechnician
madtechnician's picture

EMP's are localised. Maybe you were trying to say Solar Flare ?

Mon, 01/27/2014 - 16:53 | 4372423 akak
akak's picture

No, the two are not necessarily different phenomenon --- a solar flare can CAUSE an EMP, as could a number of other (much less likely) astronomical events, aside of course from the much higher probability of a high-atmospheric nuclear-induced EMP --- which may be "localized" on a continent or even hemisphere-wide scale.

Mon, 01/27/2014 - 20:39 | 4373182 madtechnician
madtechnician's picture

Okay you got me there , bitcoin is a globally distributed de-centralised ledger , with atleast 5 million nodes distributed around the world. To shut this system down would take an Astronomical Event that would have to affect the entire planet ? Are you fucking kidding me or what ? That is the very definition of resillience. When will you fucking get it ? Earlier you were saying it could be taken down by a few hackers in a basement. Make your fucking minds up FFS.

Sun, 01/26/2014 - 20:02 | 4369458 WillyGroper
WillyGroper's picture

There's obviously a comprehension problem here matey.

Just what is it that you do not understand about "Smart Meter"?

Mon, 01/27/2014 - 20:36 | 4373168 madtechnician
madtechnician's picture

A device which records your electricity and send the data back to the power company over the internet ? A Smart Meter cannot turn your house power off ,  According to you guys the internet and the power grid will be shut down to stop bitcoin , so how the fuck will a smart meter do anything ? And besides most bitcoin apps run on peoples phones which can be charged from a car or a 10 dollar solar panel .

Sun, 01/26/2014 - 15:00 | 4368727 kodachrome
kodachrome's picture

Launder your own money with bitcoins.

http://freebitcoinz.com/r/ezbtc

Need a btc address though, and sadly, zerohedgers are against that.

Sun, 01/26/2014 - 20:19 | 4369532 DutchR
DutchR's picture

Well Yeah, gimme some BIach 13Aj59GazEupnGoFiqS4NAvLnyKHTWGz2D

Sun, 01/26/2014 - 17:48 | 4369140 Spanky
Spanky's picture

At HSBC, our state-of-the-art laundering facilities ensure that your filthy money will be returned to you as clean as a whistle. -- TeamDepends

At HSBC, our state-of-the-art laundering facilities ensure that your filthy money will be returned to us as clean as a whistle.

There, fixed it for ya...

Sun, 01/26/2014 - 15:29 | 4368805 bill40
bill40's picture

When you put money in a bank it is their money not yours bitchez. The great bail in is coming to a bank near you soon.

 

Sun, 01/26/2014 - 15:35 | 4368819 James
James's picture

So, When ZeroHedge wins a richly deserved  Pulitzer for investigative reporting which Tyler is going to show up to accept it?

 

"Accepting the award for ZeroHedge tonite is Brad Pitt"

Sun, 01/26/2014 - 16:59 | 4369037 Kirk2NCC1701
Kirk2NCC1701's picture

@Oh regional Indian: "They need retail customers only for penny fleecing."

Is it fair to assume that you either aren't their customer (no first-hand knowledge), or that you fall into the "penny fleecing crowd"?  If you were a Premiere customer (>$25k with bank) or a Global Premier Customer (>$100k with bank), you wouldn't be chanting your... "Rain Dance".  Cause then you'd know how banks treat people with real cash, rather than being treated for what they are":  economic peasants, who treat their bank account as an online piggy bank.  With no disrespect to piggy banks or peasants.

Another way of looking at their "laundry" business, is a more libertarian way:  They are/were one of the few large banks who were willing to not ask too many questions, thus respecting their client's right to privacy, which we love to harp on about here on ZH.  You can't have it both ways (w/o being called out as a hypocrite):   either you got Big Bro or you got Privacy.  If you opt for the latter, expect a certain percentage of clients to be less than "fully tax compliant".

I see this as nothing more than the swing of the pendulum over the imaginary Center Line, to satisfy Big Bro (TPTB).  Now it's simply swinging back a bit in the other direction, like it should and you'd expect.

Sun, 01/26/2014 - 14:38 | 4368650 jcaz
jcaz's picture

That giant sucking sound is the money coming out of HSBC Monday morning......

Sun, 01/26/2014 - 14:54 | 4368702 NoDebt
NoDebt's picture

If they know what's good for them, they will.

But watch it not happen.

Sun, 01/26/2014 - 15:22 | 4368786 Wile-E-Coyote
Wile-E-Coyote's picture

You don't have to cue up anymore, Internet banking the silent scream!!

Sun, 01/26/2014 - 15:23 | 4368790 Winston Churchill
Winston Churchill's picture

They will lie in any case.

Sun, 01/26/2014 - 15:28 | 4368802 RaceToTheBottom
RaceToTheBottom's picture

"Bank run motherfuckers!"

It will be something stupid like this that sets the big one off.

Sun, 01/26/2014 - 18:17 | 4369201 The Heart
The Heart's picture

"It will be something stupid like this that sets the big one off."

Better now...than later?

Who does not see the flight from the dollar before world war three and the after the planned crash martial law take over by foreign invaders of the USA?

http://www.youtube.com/watch?v=2Rw5MosKRm4

Sun, 01/26/2014 - 16:17 | 4368936 robertsgt40
robertsgt40's picture

The only "evidence" a customer should have to produce is a pictured ID before the withdraw any amount desired. This could trigger bank runs...and rightfully so.

Sun, 01/26/2014 - 17:56 | 4369130 Drifter
Drifter's picture

"Bank run motherfuckers!"

There's stuff all over the internet about US dollar collapse this year (with bank runs), including people like John Williams (shadowstats.com) predicting sometime in the first 6 months, yet ZH appears to have no interest in it, does no reporting on it, but fills the site with what essentially is bitching and whining about the status quo, along with "financial bread and circus" nonsense like this idiot article, making me wonder how "mainstream" ZH has become.

I don't rely on ZH for any meaningful forward-looking analysis.  They have boatloads of charts showing what has already happened, but apparently no insight about what will happen in the months ahead. 

The only forward-looking analysis is from commenters.

Mon, 01/27/2014 - 01:25 | 4370350 silverserfer
silverserfer's picture

I'm the lucky 100th upvote what did I win Tyler?

Tue, 01/28/2014 - 15:43 | 4376447 papaclop
papaclop's picture

Get gold, silver and bitcoin while you still can. Nobody wants to be last in line in a bank run. JP Morgan execs are bailing out of office towers sans parachutes. Jamie "Legs" Dimon just got a massive raise. Jump Jamie, jump!

Sun, 01/26/2014 - 14:33 | 4368636 MsCreant
MsCreant's picture

Charge us for this "special" service!

Sun, 01/26/2014 - 14:36 | 4368642 williambanzai7
williambanzai7's picture

They do, you just don't see it. Ken Lay is in the back office.

Sun, 01/26/2014 - 14:48 | 4368653 Millivanilli
Millivanilli's picture

Dear HSBC

 

GIVE ME MY MONEY OR WE'LL FUCK  YOU UP.

 

Now who is the terrist'

 

Sun, 01/26/2014 - 15:03 | 4368734 Winston Churchill
Winston Churchill's picture

Too late cocksuckers.

Cleared the remaining balance out of my HSBC UK  account this AM.

Left 10 pounds in it so they have to continue to send out

statements.

Run baby run.

Sun, 01/26/2014 - 16:31 | 4368973 European American
European American's picture

At this late stage of the collapse, it's truly amazing that people still "trust" the institutions that are so hellbent on finacially raping them. 

Sun, 01/26/2014 - 16:48 | 4369013 Winston Churchill
Winston Churchill's picture

They have been 'trained' to fear having a lot of cash outside a

bank.The irony is vast,from a fear of being robbed, you get robbed.

From TPTB pov its all theirs anyway, they just let you play with it.

Sun, 01/26/2014 - 18:00 | 4369160 aphlaque_duck
aphlaque_duck's picture

Stockholm syndrome

Sun, 01/26/2014 - 18:33 | 4369239 The Heart
The Heart's picture

"At this late stage of the collapse, it's truly amazing that people still "trust" the institutions that are so hellbent on finacially raping them."

And speaking of babylon Davos...how about that planning of the coming world crash and war profiteering there. After they have the last hurray for us, then will start the downfall for all. There will be no escape that which is evil, and comes down the pike. March has all the fireworks stacked up for a real show. A true multi-dimensional gala. Will these cretins and world oligarchs make it go?

One day at a time sweet Jesus...one day at a time...

http://www.youtube.com/watch?v=JhUvFqOY00I

Sun, 01/26/2014 - 15:36 | 4368827 Hong Kong Phooey
Hong Kong Phooey's picture

Interesting that Lloyds and TSB customers are also unable to pull money out of their accounts, in the same weekend that HSBC pulled this stunt. 

Twice is a coincidence, three times is enemy action.

http://news.sky.com/story/1201359/lloyds-and-tsb-hit-by-card-and-atm-pro...

Sun, 01/26/2014 - 16:38 | 4368986 Leonardo Fibonacci2
Leonardo Fibonacci2's picture

I told my private banking advisor at HSBC that it is for NUN YURS reasons:  NONE OF YOUR FUCKING BUSINESS

Sun, 01/26/2014 - 18:10 | 4369185 Goldilocks
Goldilocks's picture

williambanzai7, "A new way of thinking"

you're stupider than you think

er (i mean), "you're richer than you think"

Scotiabank Commercial - Who's the Man?
http://www.youtube.com/watch?v=J50ybQdJayU (0:31)

Sun, 01/26/2014 - 14:25 | 4368611 InjectTheVenom
InjectTheVenom's picture

TOO LATE ASSHOLES !!

Sun, 01/26/2014 - 14:29 | 4368631 TeamDepends
TeamDepends's picture

Yellen, for the love of God, crank the printers up to 11!!!

Sun, 01/26/2014 - 14:39 | 4368654 AGAU
AGAU's picture

For when you need that extra push over the cliff.

Sun, 01/26/2014 - 15:10 | 4368759 DontGive
DontGive's picture

Not to worry, the dial goes much higher than 11..

Sun, 01/26/2014 - 15:38 | 4368834 Meat Hammer
Meat Hammer's picture

Ludicrous speed!

I hope.

Sun, 01/26/2014 - 18:44 | 4369268 The Heart
The Heart's picture

Prepare ship for...ludicrous speed!

http://www.youtube.com/watch?v=ygE01sOhzz0

Sun, 01/26/2014 - 19:56 | 4369437 DutchR
DutchR's picture

plaid is a cloth made with a tartan pattern wrapped around the waist and cast over the shoulder and fastened at the front. The literal Gaelic meaning is "blanket".

 

Jep that covers it........

Sun, 01/26/2014 - 14:25 | 4368613 Bearwagon
Bearwagon's picture

This HSBC customer is fatally mistaken: It's not yours. It is theirs

Sun, 01/26/2014 - 14:58 | 4368721 Bo Peep
Bo Peep's picture

correct

Sun, 01/26/2014 - 15:03 | 4368735 The Shootist
The Shootist's picture

If a fraction of customers withdrew their deposits, banks would fail to deliver. Youre loaning them money for them to buy risky investments.

Sun, 01/26/2014 - 15:28 | 4368801 Urban Redneck
Urban Redneck's picture

Correction, you're making a risky investment in a bank, which enables the bank to lever up and make additional risky investments and then they keep the lion's share of the gain, even though they are taking the least risk - since the State will backstop TBTF.

"Loan" implies an interest rate commensurate with the risk profile...

Sun, 01/26/2014 - 15:40 | 4368838 chunga
chunga's picture

Yeah but...isn't that what FDIC is for?  /ha ha good luck

Sun, 01/26/2014 - 17:12 | 4369064 pitz
pitz's picture

"fail to deliver", motherfuckers!

Sun, 01/26/2014 - 19:59 | 4369448 DutchR
DutchR's picture

Stand and deliver     (so 80s)   www.youtube.com/watch?v=4B2a6l6wM2k

Sun, 01/26/2014 - 15:07 | 4368746 bigkahuna
bigkahuna's picture

aaaaaaaaaannnnnnnnnnnnnnnnd, its gone.

Sun, 01/26/2014 - 15:27 | 4368795 PeakOil
PeakOil's picture

Yes. And technically what HSBC "holds" is not money it is DEBT. An IOU A contract. Nothing more.

Sun, 01/26/2014 - 14:27 | 4368618 buzzsaw99
buzzsaw99's picture

none yo fuggin' bidness hsbc

Sun, 01/26/2014 - 15:14 | 4368768 DontGive
DontGive's picture

That's what we generally say when WF gets curios. I make shit up every time.

 

"I'm going to frame these FRN's in a art exhibit" or some other nonsensical bs. 

Sun, 01/26/2014 - 17:11 | 4369026 chunga
chunga's picture

Please take your money out of Hells Fargo and put it in a local credit union.

Either that or go with the Bank of Sterns and Foster.

(remember to act natural)

Sun, 01/26/2014 - 17:24 | 4369091 thecoloredsky
thecoloredsky's picture

This times 1000

Sun, 01/26/2014 - 14:27 | 4368620 Luckhasit
Luckhasit's picture

If you said it was for drug related activities, they would have gladly given to you.  They would have thrown an accountant in for free!

Sun, 01/26/2014 - 14:27 | 4368622 Rising Sun
Rising Sun's picture

"...that it is not mandatory for customers to provide documentary evidence for large cash withdrawals, and on its own, failure to show evidence is not a reason to refuse a withdrawal. ..."

 

That it is not mandatory - but allow me to guess - these fuckers, however, will still do it.

 

Move your cash from HSBC while you still can. 

Do NOT follow this link or you will be banned from the site!