Final individual capital requirements for all large banks,

 "Federal Reserve Board announces final individual capital requirements for all large banks, effective on October 1, 2024."

Earlier this year, the US Banks underwent several stress tests to determine the amount of capital requirements that would be required to be compliant under a Basel III regimen. The large banks have been required to fulfill these guidelines.

Yes, gold is included in the Basel III bank capital requirements as a Tier 1 asset:

Basel III
The Basel III accord, implemented in 2019, requires banks to hold a significant portion of their capital in high-quality assets, including gold.

Tier 1 capital
Tier 1 capital is the most basic tier and measures a financial institution's financial strength. It includes equity and common stock.

Allocated gold
Allocated gold is considered a Tier 1 asset and has zero risk weighting. This is because allocated gold is not considered part of the custodian bank's balance sheet.

Unallocated gold
Unallocated gold is considered a Tier 3 asset and is subject to a Required Stable Funding (RSF) ratio of 85%.

Purpose
The Basel III reforms were designed to enhance banking stability and reduce the likelihood of defaults during economic downturns.

In an earlier article about a month ago, we talked about gold becoming a high quality asset. On October 1st, this means that our large Banks will be holding gold as Reserves and considered a high quality asset. Furthermore, it means that these Banks will be capable of utilizing SOUND MONEY.

In other words, our large Banks will be subject to utilizing hard currency such as gold as money. A Gold Standard is a financial system where the value of a country's currency is fixed in relation to a specific amount of gold, or linked to the currency of a country that does so.

We have been given the Tier 1 guidelines that our large Banks will be using, and they are as follows:

* "The minimum capital requirement, which is the same for each bank and is 4.5 percent;

* The stress capital buffer requirement, which is based in part on the stress test results and is at least 2.5 percent;

* and If applicable, a capital surcharge for the largest and most complex banks, which is updated in the first quarter of each year to account for the overall systemic risk of each of these banks."

These new guidelines will allow us to become competitive with other countries in trades such as the BRICS System. It is our Big Banks that work with our markets the most, and these new protocols will allow them to meet new standards being applied in global trade.

As these new banking guidelines go into effect on October 1st, our banking system will be learning these new guidelines to fulfill new obligations between themselves and their clients.

From that point forward, we will have a new form of liquidity that will enable us to adapt to the coming changes taking place in our global economy.

Watch the water.
 

https://www.federalreserve.gov/newsevents/pressreleases/bcreg20240828a.htm

https://www.bis.org/bcbs/basel3.htm#:~:text=Basel%20III%20is%20an%20internationally,financial%
20crisis%20of%202007%2D09.