I'm gonna throw a lot of stuff at ya here, so HOLD ONTO YOUR BUTTS.

Silicon Valley Bank (SVB) has a ton of clients in the tech and venture capital world.

And it just went belly up.

What happened: Early Friday, SVB announced that it was going to abandon its plan to raise $2.25 billion to cover losses in its bond portfolio. It needed cash to keep itself going, but it was having trouble finding investors.

The bank said that it was looking for a buyer to keep it from going under.

Well, its clients got nervous at that prospect and decided to pull all their money out in a panic, ensuring that the bank would crash.

I guess we should have known.

Jim Cramer somehow continues to approach a near 100% accuracy rate in wrong economic forecasts!

So why did the bank get in financial trouble in the first place? From The Financial Times:

The banking group's troubles stem from a decision made at the peak of the tech boom to park $91bn of its deposits in long-dated securities such as mortgage bonds and US Treasuries, which were deemed safe but are now worth $15bn less than when SVB purchased them after the Federal Reserve aggressively raised interest rates.

Here's why this matters to you: Since we've completely untethered the dollar from a gold standard and nearly untethered it from a physical resource/entity altogether, "money" is just 1s and 0s these days.

Banks don't actually have enough cash (especially physical cash) to let us withdraw all our money. Not even close.

This means that, unless your money is FDIC insured, you won't get it back. FDIC generally covers deposits up to $250,000; after that point, it's a bloodbath for businesses and richer individuals to see who can get their money out the fastest.

Of course, if a bunch of banks failed at the same time, the same government that just printed $5 trillion and is over $31 trillion in debt is not going to be able to save you. Just over a quarter of all USD reserves are in banks: There is no way they'd be able to cover every American's deposits if the banking system collapsed.

Think of it this way: This is the second-largest bank failure in U.S. history after Washington Mutual in 2008.

Do you remember 2008?

How were your finances?

Remember that "R" word that we're not supposed to talk about these days?

Now that we've experienced multiple quarters of economic contraction, chaos in the markets, and a large bank collapse, you might want to start paying attention to what the news isn't telling you because it would make their favorite politicians look bad.

Oh, I should probably mention this 👇

Conclusion: Banks are gambling with money they don't have to prop up monetary policies that destroy their foundations in an effort to virtue signal for woke governments.

If you think SVB is the only woke bank that's going to fail, you're in for a rude awakening!