What the bank failures mean for crypto — adidaswilson

Author Adidas Wilson
4 min readMar 18, 2023

In recent years, there have been several high-profile bank failures around the world. This has led many people to wonder what impact these failures might have on the cryptocurrency market. In this essay, we will explore the potential implications of bank failures for the crypto industry, and consider how investors and other stakeholders might respond to these developments.

First, it’s worth noting that the relationship between banks and cryptocurrency is complex. On the one hand, banks are some of the largest players in the financial world, and they have historically been wary of cryptocurrencies, which they view as a threat to their business models. At the same time, many banks are exploring ways to incorporate cryptocurrency into their offerings, either by investing in crypto startups or by developing their own digital assets.

Against this backdrop, bank failures can have both positive and negative effects on the crypto industry. On the one hand, bank failures can create a climate of uncertainty and instability that makes traditional investments less attractive. This can drive investors to seek out alternative assets, such as cryptocurrencies, which may be perceived as more stable or secure.

On the other hand, bank failures can also create a sense of panic and fear that can spill over into the crypto market. This can lead investors to pull their money out of all investments, including cryptocurrencies, in an effort to preserve their capital.

To understand these dynamics more clearly, it’s worth examining some recent examples of bank failures and their impact on the crypto market.

One of the most notable bank failures in recent years was the collapse of Lehman Brothers in 2008. This event was a catalyst for the global financial crisis, which led to a sharp decline in asset values across the board. In the aftermath of the crisis, many investors turned to alternative assets, including cryptocurrencies, as a way to diversify their portfolios and reduce their exposure to traditional investments.

This trend was particularly evident in countries that were hit hard by the crisis, such as Greece and Cyprus. In these countries, banks were struggling to stay afloat, and many investors lost their savings as a result…



Author Adidas Wilson

Adidas Wilson was born in Chicago, surviving a near death experience driving off a bridge in an 18 wheeler and getting hit by a train. Author and Motivator