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Is Private Credit About To Crash The Global Economy?
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Amidst all of the chaos of last week, the world’s largest asset manager (blackrock) quietly announced something that should be making a lot of people extremely worried.
They would be limiting withdrawals on one of their flagship private credit funds that currently has (or at least had) 26 billion dollars worth of assets under management.
Now I know that there is a lot going on in the world right now and compared to some of the headlines we have seen in the past week this might sound pretty minor, but a hiccup like this in these markets could genuinely be the sign, symptom and cause of something much scarier.
On one hand, people pulling money out of these kinds of funds is a sign that things are not going well amongst even the most high end investors.
On the other hand, the fact that they can’t get their money out is a symptom of people predicting things are about to get much worse…
And on the third hand, a shocking amount of everyday businesses have been propped up by the easy lending done by firms like this… If their money stops flowing, it could easily cause much larger knock on effects throughout the real economy in extremely direct ways.
But before we get too hyperbolic, it’s important to understand exactly what these funds were supposed to do and more importantly what they have actually been doing, because depending on your interpretation of this business model, this headline is either little more than dumb investors not understanding what they invested in… or it’s the modern equivalent of a bank run.
The total debt outstanding in this highly risky class of finance is now over 2 trillion dollars (and that’s only what we actually know of), either way that’s almost twice as much as the 1.3 trillion dollars in subprime mortgage lending done in 2008, and with an alarming number of parallels it’s clear to see why some people are getting nervous…
Now that alone is… not great… but it gets worse…
If one Blackrock fund really was the only fund having problems it could probably just be written off as (a concerning but ultimately) isolated incident, unfortunately though, this week’s announcement was just the latest (and so far) largest example of major issues in these multi trillion dollar private markets…
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News Videos
Bitcoin & Crypto DYING (IS IT OVER?)
The entire crypto market is on the edge of disaster. Altcoins are feeling rough. In today’s emergency breakdown, we cover the exact support levels Bitcoin MUST hold to avoid a full-scale meltdown.
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#bitcoin #crypto
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News Videos
Gen Z Is ‘Doom Spending’ to Cope With Financial Despair
Historically, when people lose confidence about their finances, they’ll pull back on spending. But, increasingly, younger generations are doing the opposite, figuring their financial futures are doomed no matter what. Higher student debt loads, an increased cost of living and shifts in the labor market have made it more difficult to achieve financial success.
As such, about 28% of Americans admit to “doom spending” to cope with concerns about the economy and foreign affairs, according to Credit Karma, a personal finance company. And the rates are even higher among Millennials and Gen Z, at 43% and 35%, respectively.
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News Videos
Why Did Bitcoin Crash, and When Will Crypto Recover?
Bitcoin tumbled below $61,000, as the unwinding of leveraged bets and broader market turbulence deepened a selloff that has wiped out all of the gains since President Donald Trump’s election set off a speculative rush into cryptocurrencies.
The token sank as much as 4.8% to $60,033 in early Asia trade Friday, extending a sharp selloff to plunge to its lowest since October 2024. The rout has erased half of Bitcoin’s value since it reached a record four months ago and has spread to other tokens, related ETFs and companies like Strategy Inc. that hold vast sums of coins.
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The best AI Crypto Coin (easy 10x)
AI coins are likely going to lead the alt market. This is my favorite one.
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25 Minutes of The BEST Financial Decisions of 2025
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#money #finance #debt
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News Videos
Trump family’s wealth grew by $5B after crypto launch
Trump family’s wealth grew by $5B after crypto launch
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30 Years of REAL Financial Advice in 30 Minutes | Episode 374
In this special episode of Small Talk, we break down 30 years of financial lessons into a clear, practical, and honest conversation. No jargon. No hype. Just real wisdom you can apply today.
Chapters:
0:00 – Introduction
01:07 – Alec Cuenca
03:00 – Nicole Alba
09:45 – Jax Reyes
18:57 – Peng Mendoza
20:37 – Mikee Reyes
26:08 – Ichan Remigio
This episode goes beyond earning and saving — it’s about understanding how money affects identity, family, confidence, and the way you move through life. We talk about the mistakes most people don’t realize they’re making, how to build systems that protect your future, and why stability is more important than speed.
If you’ve ever felt behind financially, unsure of where to start, or overwhelmed by the pressure to “have it all figured out,” this episode is made for you. You don’t need to be perfect — you just need to begin.
Start with what you have. Do what you can. Your future self will thank you.
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Laziest Ways To Make Money With AI ($100/day+)
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Is the crypto bubble bursting?
This week saw two big crypto firms go public in New York and raise millions of dollars as they ride the Bitcoin boom. But, as Elena Casas explains, some of the biggest investors in cryptocurrency are actually seeing their share prices fall, in a warning sign for the market.
#crypto #cryptocurrency #bitcoin #market #bubble
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