Should one transfer some money to the Hive wallet before the Bank fails?

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Putting your savings in the bank has been the most conservative way to save and invest.
It is a little bit better than holding your physical money though It gives a very low rate of return however is considered to be very safe.
This has been a notion since a bank is granted its banking license |
after a lot of scrutiny.
Putting your money in the bank protects it from being stolen. However few realize the risk if the bank goes bust.
Let's look back at the events of how the US banks have collapsed in the past few days.

In the latest banking crisis The US government has found financial issues with the running of the Citizen bank and as a consequence of the findings the Federal Deposit Insurance Corporation (FDIC) is taking over the control of the bank without providing any prior public announcement.

Fifth in line of failures

Prior to Citizen bank we have seen banking names of repute joining the failed banks ill repute list. The banks to join this year include

• Heartland Tri-State Bank
• Signature Bank
• Silicon Valley Bank
• First–Citizens Bank

In terms of chronology the banking collapse story started on March 10th 2023 which brought the NEWS of First–Citizens Bank going down.
As per the statement coming from FDIC Iowa Division of Banking closed down Citizens Bank, Sac City, Iowa
Federal Deposit Insurance Corporation (FDIC) was appointed as the receiver. The ball has been set rolling to protect the depositors FDIC has been roped in and entrusted to safeguard the deposits.
In technical terms Federal Deposit Insurance Corporation has entered into a Purchase and Assumption Agreement with Iowa Trust & Savings Bank, Emmetsburg, Iowa, to assume all of the deposits of Citizens Bank.

As part of the contingency plan 2 different branches of the bank would reopen on Monday during normal business hours.
For the weekend part customers of the Citizen bank would be able to use the ATM to tak via their debit cards as well as use cheque as a mode of moving and transferring funds.

To make the transition smooth those who made deposits with Citizen bank would now become the depositors of Iowa Trust & Savings Bank.
The account holders of the citizen bank are advised to use their respective bank branches for their banking needs as usual.
Perhaps later on they would be guided about the changes that would come into effect as a result of the new arrangement.

As per the reports of 30 September 2023, the Citizen Bank had $66 million in asset value.
It also held $59 million worth of total deposits.

As per the agreement the FDIC (Iowa Trust & Savings Bank) would be taking ownership of the failed assets of the bank as well as part of the purchase agreement.

Had it not been for the intervention of FDIC that came to the rescue all the bank account holders would have been left high and dry.

It is time to relook at your investment and holdings?

If one wants to keep the money only with a bank then it is better to spread it out across a number of banks.
This way if one bank goes down there would be some money remaining in the other bank accounts.

Term deposits hardly beat inflation

Most people looking at a secure way to grow their funds look towards bank term deposits.
Which offer a rate of interest that is barely competing with the rate of inflation.
In most cases term deposit interest gets taxed so this is not a good option.

If the bank that holds your money goes bust then your best option is a government rescue program that may or may not happen.

One could use the help of a financial consultant and put some money in mutual funds.
At this point I am curious to share an earning opportunity that a lot of users are using.

Would you consider a 20% APR for holding HBD stable coin?

Enter crypto and the world of stable coins.
HBD is the stable coin of the hive blockchain.
By way of holding the HBD in your own wallet under savings a user earns a return of 20% APR
The underlying blockchain is a stable and decentralized blockchain that has been performing quite well.
To get started one can get a free account via the inleo frontend from here

Creating an account like this is your first step in the big wide world of web 3.0
If one compares a bank account with a hive account the comparison is quite striking.

Get yourself a web 3.0 account using inleo

Getting an inleo/hive account like this is one of the easiest and quickest methods.

If you are not already on inleo and hive use the link to create.

You can fund your account by content creation

The beauty of inleo/hive is that you can start creating content and start posting it on your account.
Unlike your web 2 account postings where you only get likes.
Here on web 3 the upvotes earn you real crypto money.
You can use this crypto earned into savings and test the various features. Taking out your earning is surely an option but to keep it here under a HBD savings earns you 20% APR

Final thoughts

If you are reading this on inleo/hive make sure you spread the word about the tremendous opportunity with your family and friends outside of hive.
reblog and share this post on your social media account so that more people get to know about the inleo/hive opportunity and get their own accounts and start posting.
If you do not have inleo/ hive account use the link
Feel free to reach out to me in case you need any help in creating your free account.

Look at your hive account as a part of your portfolio. Keep creating content to make it grow. Over time funds would build up over time as you learn to grow.
A hive account is not a get rich quick scheme however if you keep active by way of creating and posting content and interacting with other users via commenting under their posts then you are bound to grow.

Disclaimer: No financial advise. The purpose of this post is for educational purpose only. Please DYOR before making an investment.

Posted Using InLeo Alpha