Fearful of Bank Run, Dem Wanted to Censor Social Media

April 20, 2023

A hint of censorship was in the air when the Silicon Valley bank collapse occurred. Rep. Thomas Massie (R-KY) noted an unnamed Democrat asked about what options there might be to keep certain words from being mentioned on social media that might cause a run. That bank is a popular one with tech start ups and it faced a run on Friday. The dominoes started falling Wednesday with a $1.8 billion loss.

Bank collapse

Massie tweeted out about a meeting, “Just got off of a zoom meeting with Fed, Treasury, FDIC [Federal Deposit Insurance Corporation], House, and Senate. A Democrat Senator essentially asked whether there was a program in place to censor information on social media that could lead to a run on the banks.”

That $1.8 billion that it sold off was followed by $2.25 billion to offset it. Venture capital firms didn’t like that and encouraged companies to take their money out. The customers attempted to withdraw $42 billion and the institution ran out of money.

Just got off of a zoom meeting with Fed, Treasury, FDIC, House, and Senate.

A Democrat Senator essentially asked whether there was a program in place to censor information on social media that could lead to a run on the banks.

— Thomas Massie (@RepThomasMassie) March 13, 2023

Their stock plummeted

It dropped like a rock by 60%, starting a panic. Investors using other banks started withdrawing causing stocks from other institutions to fall as well.

The hemorrhage was stopped by shutting down trading on the Silicon Valley bank on Friday morning. Regulators shut down the institution 48 hours after the fall started.

It was young

The bank was 40 years old and the 16^th largest United States bank before being closed. Massie spoke of the response to the Democrat Senator, “We will get back to you on that.”

Another Twitter user thought you shouldn’t yell fire in a crowded theater although that person was anti-censorship. That “spreading unfounded rumors to promote a run on a bank” is like “yelling fire in a crowded theater.” Massie responded with, “What about yelling fire in a theater that’s on fire?

Author

Patti Krahn-Hamblet

Patti is a virtual sales, marketing and customer service veteran that enjoys the outdoors, the arts, music and horses. She has been very outdoorsy her entire life, She has an interest in survivalism or prepping. Her father is a Navy veteran and worked in state government, he was one of the driving forces to her becoming a strong conservative. Patti enjoys the company of mostly libertarians and independents. Patti is also a singer, and was a member of a ladies acapella barbershop group called the Barre tones from spring 2010 - 2021. The group travels throughout the eastern continental North America. Finally, Patti is one of our newest team mates on Newshourfirst.com that has enjoyed writing since her days of childhood.