China’s Hengfeng Bank is set to get a $14.2 billion bailout from both Chinese government and foreign investors. An emergency decree has been approved to bail out southern Italy’s biggest lender, Banca Popular di Bari. Germany continues to struggle with bailout pains, as regional bank Nordlb finds itself now depending on another capital injection. None of this to mention the U.S. Federal Reserve’s ongoing money creation via repo markets, with the people ultimately footing the bill. In this trajectory, many are also speculating about the role crypto and central bank digital currencies (CBDCs) might play in 2020 and beyond as another global recession hangs on the horizon.
Also Read: Lagarde Sees Demand for Stablecoins, Plans to Put ECB ‘Ahead of the Curve’
Bailouts From China to the EU
Ever since the infamous bailouts of the last great recession kicked off in 2008 and saw lending giants like Goldman Sachs and JP Morgan receive billions in government assistance — with official estimates and media reports putting the total cost of all…