After the collapses of several banking giants one after the other caused confusion and fear across the sector, Robert Kiyosaki, the author of the best-selling personal finance book ‘Rich Dad Poor Dad,’ has alerted his followers that the banking crisis was far from over.
Indeed, Kiyosaki warned that more banks were about to fail following the widely publicized crashes of Silicon Valley Bank (SVB), Silvergate Bank, and Signature Bank, within days of each other in March, as well as the subsequent decline of First Republic Bank (NYSE: FRC), and government bailouts of others, as he said in a tweet on June 15.
Furthermore, the financial educator added that mortgage companies could be in danger as well, including the mortgage behemoth Loan Depot, for which he said there was a rumor it was “on the ropes,” advising his followers to be careful and “not believe anything Pres Biden, Fed Chairman Powell or Sec Treasury Yellin [sic] say.”
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As the above banks declined, Kiyosaki commented that they “went woke and went broke,” referring to the so-called ‘woke’ culture that typically refers to awareness of societal issues like racial justice, and reiterated the advice to his followers to invest in gold, silver, and Bitcoin (BTC) to protect themselves in the upcoming “end of capitalism.”
More recently, the famous investor drew attention to the perils of holding money in regional banks, which he believed would follow their larger counterparts in crashes but without the chance of bailouts, as the United States was “sitting on the edge of a great depression.”
In early May, the Hoover Institution think-tank stressed that several potentially insolvent US banks were “lurking in the system,” already facing losses, and that their presence had further threatened around 200 more lenders already affected by the previous interest rate hike.
Meanwhile, Antony Jenkins, the former CEO of United Kingdom-based investment banking giant Barclays has noted that banks were failing to recognize the value of digital shift in today’s business world, calling them “museums of technology,” as Finbold reported on June 13.
Featured image via Kitco News YouTube
