Bitmex's Arthur Hayes Says Jerome Powell Might Have Broken The U.S. Banking System

The co-founder of BitMEX, made controversial comments about the US banking system in a blog post titled 'The Last Days of the Dollar Hegemony'. In the post, Hayes argued that the US Federal Reserve's monetary policy, including its low interest rates and quantitative easing programs, had created a massive asset bubble and was fueling inflation.

Hayes specifically criticized Federal Reserve Chairman Jerome Powell, saying that his policies could lead to the collapse of the US banking system. Hayes claimed that Powell had broken the traditional banking model by flooding the market with liquidity and creating a culture of moral hazard, in which banks took on excessive risk with the expectation of being bailed out by the government if things went wrong.

Hayes' comments were widely criticized by many in the financial industry, who argued that the US banking system was fundamentally sound and that the Federal Reserve's policies were necessary to support the economy during a period of economic turmoil.

It's worth noting that since Hayes made his comments, the US banking system has continued to operate without major disruptions, and the Federal Reserve has continued to support the economy through its monetary policy programs. While there are legitimate concerns about the long-term impact of low interest rates and high levels of debt, it's unclear whether the US banking system is at risk of collapse, as Hayes suggested.