The Fed has capitulated – daily swap lines introduced as Bitcoin feeds off liquidity

Weekly USD swap line operations with the Fed will now become daily experience for five of the main central banks.

James Van Straten
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James Van Straten
This article was published 3 years ago. Some details may no longer reflect current market conditions or recent developments. If you spot anything that needs an update, contact us.
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Quick Take

  • The fed and five central banks have just announced to enhance liquidity via USD swap lines.
  • The other five central banks are the Bank of England, the Bank of Canada, the European Central bank, the Swiss National Bank, and the Bank of Japan.
  • Swap line operations with the fed will now be daily instead of weekly
  • Distressed banks can now get liquidity (dollars) from the fed daily.
  • The result is balance sheet expansion — billions if not trillions of liquidity incoming in the short-medium term.
Press release: (Source: ECB)
Press release: (Source: ECB)
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James Van Straten
James Van Straten
Former Lead Analyst CryptoSlate

James fervently appreciates data, technology, and trend-spotting. As a tech and liberty maximalist, he hails Bitcoin as the 21st century's paramount invention.

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