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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 | Link to Comment williambanzai7
williambanzai7's picture

..

 

By:  @blumaberlin

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

Bank run motherfuckers!

Sun, 01/26/2014 - 14:31 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment kliguy38
kliguy38's picture

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

Sun, 01/26/2014 - 15:01 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment wintermute
wintermute's picture

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

Sun, 01/26/2014 - 16:36 | Link to Comment 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 | Link to Comment knukles
knukles's picture

Regardless, it's still Bush's Fault

Sun, 01/26/2014 - 16:52 | Link to Comment 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 | Link to Comment knukles
knukles's picture

Or just because you're a customer.

Sun, 01/26/2014 - 18:08 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment jbvtme
jbvtme's picture

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

Sun, 01/26/2014 - 19:45 | Link to Comment 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 | Link to Comment knukles
knukles's picture

Or just because you're a customer.

Sun, 01/26/2014 - 17:19 | Link to Comment WillyGroper
WillyGroper's picture

I or II ?

Sun, 01/26/2014 - 18:31 | Link to Comment DutchR
DutchR's picture

Hippy

Sun, 01/26/2014 - 17:24 | Link to Comment HobbyFarmer
HobbyFarmer's picture

Fonestar says his chequing account is $14 overdrawn.

You're growing on me, kid.

Mon, 01/27/2014 - 00:17 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment nmewn
nmewn's picture

Sounds very reasonable ;-)

Sun, 01/26/2014 - 18:04 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment Pinto Currency
Pinto Currency's picture

-

 

 

 

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

 

see if i gett more up votes ;)

Mon, 01/27/2014 - 00:52 | Link to Comment OldPhart
OldPhart's picture

\_/  at times like these, beer is better

 

Sun, 01/26/2014 - 15:31 | Link to Comment 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 | Link to Comment 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 | Link to Comment StychoKiller
Sun, 01/26/2014 - 15:05 | Link to Comment Looney
Looney's picture

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

Looney

Sun, 01/26/2014 - 17:22 | Link to Comment WillyGroper
WillyGroper's picture

I kinda like "Washateria"

Sun, 01/26/2014 - 15:19 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment madtechnician
madtechnician's picture

Bitcoin , Bit-chez ..

Sun, 01/26/2014 - 15:23 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment nmewn
nmewn's picture

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

Sun, 01/26/2014 - 16:55 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment madtechnician
madtechnician's picture

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

Sun, 01/26/2014 - 19:13 | Link to Comment 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 | Link to Comment WillyGroper
WillyGroper's picture

You really are thick as a plank.

Sun, 01/26/2014 - 20:41 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment nmewn
nmewn's picture

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

Sun, 01/26/2014 - 17:38 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment nmewn
nmewn's picture

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

Sun, 01/26/2014 - 19:47 | Link to Comment 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 | Link to Comment nmewn
nmewn's picture

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

Sun, 01/26/2014 - 19:14 | Link to Comment Spanky
Spanky's picture

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

Sun, 01/26/2014 - 20:32 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment OldPhart
OldPhart's picture

You forgot Porn, God help you...

Sun, 01/26/2014 - 23:20 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment Spanky
Spanky's picture

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

Sun, 01/26/2014 - 20:46 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment DutchR
DutchR's picture

Carrington event, checkmate..

 

 

Sun, 01/26/2014 - 19:25 | Link to Comment 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 | Link to Comment 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 | Link to Comment OldPhart
OldPhart's picture

Whaaa?

Milk comes from plastic jugs.

It used to come from paper cartons.

Mon, 01/27/2014 - 06:55 | Link to Comment DutchR
DutchR's picture

"Milk comes from plastic jugs.

 

You live in California?

Mon, 01/27/2014 - 04:46 | Link to Comment madtechnician
madtechnician's picture

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

Mon, 01/27/2014 - 16:53 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment DutchR
DutchR's picture

Well Yeah, gimme some BIach 13Aj59GazEupnGoFiqS4NAvLnyKHTWGz2D

Sun, 01/26/2014 - 17:48 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment jcaz
jcaz's picture

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

Sun, 01/26/2014 - 14:54 | Link to Comment 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 | Link to Comment 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 | Link to Comment Winston Churchill
Winston Churchill's picture

They will lie in any case.

Sun, 01/26/2014 - 15:28 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment silverserfer
silverserfer's picture

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

Tue, 01/28/2014 - 15:43 | Link to Comment 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 | Link to Comment MsCreant
MsCreant's picture

Charge us for this "special" service!

Sun, 01/26/2014 - 14:36 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment aphlaque_duck
aphlaque_duck's picture

Stockholm syndrome

Sun, 01/26/2014 - 18:33 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment 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 | Link to Comment InjectTheVenom
InjectTheVenom's picture

TOO LATE ASSHOLES !!

Sun, 01/26/2014 - 14:29 | Link to Comment TeamDepends
TeamDepends's picture

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

Sun, 01/26/2014 - 14:39 | Link to Comment AGAU
AGAU's picture

For when you need that extra push over the cliff.

Sun, 01/26/2014 - 15:10 | Link to Comment DontGive
DontGive's picture

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

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

Ludicrous speed!

I hope.

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

Prepare ship for...ludicrous speed!

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

Sun, 01/26/2014 - 19:56 | Link to Comment 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 | Link to Comment Bearwagon
Bearwagon's picture

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

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

correct

Sun, 01/26/2014 - 15:03 | Link to Comment 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 | Link to Comment 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 | Link to Comment chunga
chunga's picture

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

Sun, 01/26/2014 - 17:12 | Link to Comment pitz
pitz's picture

"fail to deliver", motherfuckers!

Sun, 01/26/2014 - 19:59 | Link to Comment DutchR
DutchR's picture

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

Sun, 01/26/2014 - 15:07 | Link to Comment bigkahuna
bigkahuna's picture

aaaaaaaaaannnnnnnnnnnnnnnnd, its gone.

Sun, 01/26/2014 - 15:27 | Link to Comment 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 | Link to Comment buzzsaw99
buzzsaw99's picture

none yo fuggin' bidness hsbc

Sun, 01/26/2014 - 15:14 | Link to Comment 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 | Link to Comment 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 | Link to Comment thecoloredsky
thecoloredsky's picture

This times 1000

Sun, 01/26/2014 - 14:27 | Link to Comment 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 | Link to Comment 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!