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Visa, Mastercard block Russian financial institutions after sanctions

reuters.com

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Re: Visa, Mastercard block Russian financial institutions after sanctions

#21

Post by vmception »

ido wrote: post #12
zxcvbn4038 wrote: post #8

Not only does Russia have its own financial interchange system but they have their own credit card network as well. Visa and MasterCard were forced to integrate with them early on in order to get a toe hold in the country. This will do more to hurt MasterCard then Moscow. Hindsight being perfect, one of the worst blunders the US ever made was turning their backs when the Soviet Union collapsed. That was their one cha…

I think this is a naive reading of historic events. The US didn't "open pizza huts" but collaborated vigorously and enthusiastically in the looting of Soviet state assets post-collapse.

Oligarchs are the OG dip buyers

Bonus round 2 right before our eyes! assuming Putin doesn't nationalize stuff. Everyone else is literally helping you have diamond hands because you cant sell until the sanctions are lifted haha, which I mean, they will eventually. Undervalued, revenue producing assets aren't going to be ignored for long. BTFD.

Just assume that you're going to the front lines soon unless you have enough money to donate enough to an Ivy League school for admission and draft deferral, like last time. The people that couldn't afford have no lineage as their bloodline ended, and the people that could afford it are current politicians and Presidents on all sides and their genes and ideas do pass on. Makes it easy to rationalize taking asymmetric financial bets during a time when people think they don't want to talk about it.

Re: Visa, Mastercard block Russian financial institutions after sanctions

#23

Post by Tabular-Iceberg »

rib3ye wrote: post #19
scyzoryk_xyz wrote: post #17

Earlier quoted context omitted.

This, imho is eerily similar to the mistake of punishing Germany ruthlessly at the end of WWI, which basically created the perfect underlying conditions for Nazis and WWII.

Show me the treaty where Russia was required to pay back crippling reparations.

Does it matter to the average Russian if the money goes to a foreign state or a handful of oligarchs? The end result is the same.

After enduring the communist hellhole for 70 years they should at least have been able to enjoy the fruits of all that labour.

Re: Visa, Mastercard block Russian financial institutions after sanctions

#24

Post by solatic »

donw wrote: post #5

sigh Fifty years ago, the dollar had value because America was the one-stop-shop for everything. Cars, electronics, appliances, all of it. Nowadays, that's China. China makes everything, or the parts to make everything, and increasingly to a higher standard than can be produced in the US. Go watch Project Farm and think on those results. The dollar has value now because it functions as a medium of exchange. That's it…

Yep, same thing that happened to British Pound Sterling. The Industrial Revolution and the British Empire made it the global reserve currency; war losses, the dismantling of the Empire, and the decline of British industry handled the mantle to the American Dollar. Nothing truly protects USD from the same forces.

China and Russia won't succeed at launching a competing standard though. Autocracy may promote economic growth at home, but it cannot credibly protect the financial interests of foreigners from its own impulsive and selfish desires. You deposit funds into Russian and Chinese banks at your own risk.

Re: Visa, Mastercard block Russian financial institutions after sanctions

#25

Post by imwillofficial »

hericium wrote: post #4
karamanolev wrote: post #3

Earlier quoted context omitted.

True. That part is beyond what's required by law, right? It also promised to contribute a $2 million for humanitarian relief.

I wonder how many of those promises will actually be fulfilled before Putin gets frustrated.

I don’t get comments like these.

Does Putin strike you as an overly emotional guy who gets frustrated easily?

My take is that he is cold and calculating. Not one I’d take lightly.

Re: Visa, Mastercard block Russian financial institutions after sanctions

#26

Post by sudosysgen »

solatic wrote: post #24
donw wrote: post #5

sigh Fifty years ago, the dollar had value because America was the one-stop-shop for everything. Cars, electronics, appliances, all of it. Nowadays, that's China. China makes everything, or the parts to make everything, and increasingly to a higher standard than can be produced in the US. Go watch Project Farm and think on those results. The dollar has value now because it functions as a medium of exchange. That's it…

Yep, same thing that happened to British Pound Sterling. The Industrial Revolution and the British Empire made it the global reserve currency; war losses, the dismantling of the Empire, and the decline of British industry handled the mantle to the American Dollar. Nothing truly protects USD from the same forces. China and Russia won't succeed at launching a competing standard though. Autocracy may promote economic gr…

CIPS isn't about trusting China with your money, it's just an interchange system. It's not necessary to trust Chinese or Russia banks.

Re: Visa, Mastercard block Russian financial institutions after sanctions

#28

Post by imwillofficial »

rib3ye wrote: post #18
donw wrote: post #5

sigh Fifty years ago, the dollar had value because America was the one-stop-shop for everything. Cars, electronics, appliances, all of it. Nowadays, that's China. China makes everything, or the parts to make everything, and increasingly to a higher standard than can be produced in the US. Go watch Project Farm and think on those results. The dollar has value now because it functions as a medium of exchange. That's it…

I see this "Chinese production + Russian... (I guess just oil) = superior economic system" argument before, but I suspect these people have never opened a history book on Sino-Soviet relations. Because of decades of undermining and backstabbing, the trust between these two societies is pretty close to zero despite "communism". The only thing they really have in common is that they are both autocratic governments, so…

Except this isn’t the case at all.

Modern Russia, and Modern China are as tight as ever. Being driven closer by the West.

Re: Visa, Mastercard block Russian financial institutions after sanctions

#29

Post by [deleted] »

imwillofficial wrote: post #25
hericium wrote: post #4

Earlier quoted context omitted.

I wonder how many of those promises will actually be fulfilled before Putin gets frustrated.

I don’t get comments like these. Does Putin strike you as an overly emotional guy who gets frustrated easily? My take is that he is cold and calculating. Not one I’d take lightly.

[deleted]

Re: Visa, Mastercard block Russian financial institutions after sanctions

#30

Post by abofh »

donw wrote: post #5

sigh Fifty years ago, the dollar had value because America was the one-stop-shop for everything. Cars, electronics, appliances, all of it. Nowadays, that's China. China makes everything, or the parts to make everything, and increasingly to a higher standard than can be produced in the US. Go watch Project Farm and think on those results. The dollar has value now because it functions as a medium of exchange. That's it…

SWIFT is a Belgian corporation that is not tied to a specific currency. Kicking them out of SWIFT has nothing to do with USD hegimony. China and Russia do have a competing system, it's used by China and Russia.

Moreover, Russias currency and market have been in a downfall for a month, not a week - that its actions _have_ long term consequences is exactly the point.

Now, please remember, there's a whole planet out there, and Russia has a GDP that equals _Italy_ or Benelux - it's just, in the grand scheme of things, not important enough to justify its repeated demands to be able to invade soverign nations without consequences.

Russia is still free to settle its debts through the thing it has: physical goods. SWIFT is a messaging system - not a payment system - they're still free to use faxes and carrier pigeons. The world need not let you participate in modern conveniences if you're just a bully.

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