Podcasts: Credit Risk & The Bitcoin Hedge with Greg Foss & Andy Edstrom - WBD402 🔗 3 years ago

Location: Remotely Date: Thursday 23rd September Company: Validus Power Corp, Swan Bitcoin Role: Bitcoin Strategist, Head of Institutional Investment

Over the last week, markets worldwide were hit hard as fears continue to grow over the liquidity of Chinese property behemoth Evergrande. The S&P, Dow Jones and Nasdaq all suffered their worst days in months.

Evergrande is China's second-largest and the world's most indebted real estate developer. It expanded rapidly by borrowing more than $300 billion. however, when new rules were introduced to control the amount owed by big large estate developers, Evergrande was forced to sell properties at a significant discount and is now struggling to pay its debts.

In 2008, the Great Financial Crisis began with an insolvent institution which precipitated a credit panic across the global banking system. When markets are saturated with debt, a single event can turn into a contagion.

Will Evergrande spark another financial meltdown, or will it prove to be too big to fail?

In this interview, I talk to the Head of Institutional Investment at Swan Bitcoin and Bitcoin Strategist Greg Foss. We discuss the Evergrande insolvency, whether a debt crisis is looming, and why Bitcoin is the perfect hedge.