Paraguay’s MASSIVE Banking Collapse

derryb

this is what happens when banks loan out to much money

60% of Paraguay’s adult population completely lost access to their accounts. Imagine waking to that surprise!

As of June 30, 2026, the US's FDIC’s Deposit Insurance Fund (DIF) has a balance of $161.1 billion. Total deposits in U.S. commercial banks stand at $19.77 trillion. Fractional banking calls for fractional insurance. LOL

Bank depositers fail to realize that they are loaning money to a bank when they make a deposit.

Got gold?

jmski52

A bank that held less than half the capital that it was required to hold - for 60% of the population?

In the context of David Rogers Webb's book "The Great Taking" this means that 60% of the population just got robbed of at least 1/2 of their money (probably more than 1/2) and it will probably be a year or two before they get anything back.

The laws are on the books - it isn't your money in the banks. It's money that you've "loaned" to the bank, and they can legally gamble with it any way they want until the regulators step in. By then, it's too late.

Can it happen here? The laws are already on the books. You might have a little bit better odds in Vegas.

derryb

Bank deposits should be considered an investment in that bank. Monitor that investment and that bank's performance. Financial news is a good source. Reports from regulators not always a good source.

hchcoin

Thanks for sharing. It's amazing how much news I have received here over the years.

BruceS

soon the president of Paraguay will be in prison, he was in kahoots with the banks board for quite a while.

derryb

@BruceS said:
soon the president of Paraguay will be in prison, he was in kahoots with the banks board for quite a while.

Paraguay Ousts Its President As His Daughter's "Tax The Poor" Shirt Goes Viral

RedneckHB

https://www.ft.com/content/1407c45e-9765-44cc-95ce-4c5a9dc93fc2?syn-25a6b1a6=1

Quite the flood.

ricarf2386

Hello everyone, how is the forum doing? Greetings to all the great people here. Since I live here in South America, I wanted to share a detailed account of what has been happening in our neighboring country, Paraguay, regarding the recent banking crisis.

To give you some background, ueno bank wasn’t very well known before and didn’t have many traditional clients. However, right after President Santiago Peña took office, political influence changed everything. Taking advantage of the financial troubles of another legacy institution called Visión Banco, ueno bank absorbed it, instantly capturing a massive portion of the country's depositors.

Peña never distanced himself from the banking group's management. In fact, he appointed Carlos Carvallo—who was heavily linked as an executive and shareholder in the financial group—as the head of the Central Bank, which was supposed to regulate them. They engaged in illegal practices, granting massive, irregular loans to their own partners and associated companies, which completely bled the bank's liquidity. Now, it appears a vast amount of that money has been moved outside of Paraguay, leaving millions of everyday citizens in complete despair, distress, and ruin.

Currently, Peña has been impeached and removed from office by Congress, and he is now under house arrest facing criminal investigation. He actually tried to resign first, but Congress rejected his resignation to ensure he wouldn't avoid justice. To be honest, seeing this unfold in Paraguay brings back a very bitter sense of nostalgia for me here in Ecuador, as our country went through a very similar banking collapse in the past. This is my report from over here in South America!

ajaan

@ricarf2386

Excellent information. Thanks.