The Millennium Semiconductor Survival Guide.

Chapter 338 Detonation
It will definitely not be a loss for Zhou Xin to allow Xinxin to join EUV LLC.

Of course, choosing this time to list NewPay will definitely be a loss from an economic perspective. Now that the crisis is spreading, NewPay cannot get a good price.

If it were delayed for another two years, until the financial crisis passed, Xinxin would be listed with a valuation of at least 2000 billion, and with a substantial monopoly on the entire electronic payment market, the market would be willing to buy it if the market value were to increase by 50.00%.

Now that it's listed, it's estimated to be around US$1000 billion.

But the problem situation is stronger than people. As the weak party, you will definitely lose money when making transactions with the strong party.

More or less you will lose money.

Take Time Warner's acquisition of Quora as an example. As the majority shareholder of Time Warner, Goldman Sachs single-handedly led the completion of the transaction, allowing Zhou Xin to complete the accumulation of original capital.

It seems that Zhou Xin is making a lot of money, but in fact Goldman Sachs is the one who makes the most, and has successfully escaped from the Nasdaq bubble crisis.

As a top brokerage, Merrill Lynch did not escape the Internet bubble of the millennium. In the end, the entire securities investment department was packaged and sold to BlackRock, resulting in heavy losses.

It has been almost ten years since he returned to this pilot, and Zhou Xin is very aware of Amerikan's routine.

He has no need to agree to the conditions proposed by Henry. He is in China, and Amerikan cannot use any private means to deal with him.

But Zhou Xin is sure that once the Madoff matter is resolved, Amerikan will forcefully demand the split of NewPay on the grounds of monopoly.

So switch things up while you can.

"What? Let NewPay go public now?" Peter Thiel's expression was exaggerated, unable to understand Zhou Xin's decision.

On the 18th floor of the headquarters building of NewPay Huaguo Branch in Lujiazui, Zhou Xin looked at Peter expressionlessly: "Yes.

I know now is not a good time and we have no choice.

Madoff is a huge pit that will bury everyone in it. Henry let NewPay go public to boost investors' confidence in Amerikan's capital market.

I couldn't refuse. "

Although Zhou Xin is the decision-maker and Peter only needs to implement this kind of decision, he is still very candid.

Peter Thiel nodded: "Okay, I understand.

Would I do it, Nasdaq or NYSE? "

This question is asking, when NewPay goes public, should we regard it as an Internet company or a financial institution?

Internet companies are generally listed on Nasdaq, while almost all traditional financial institutions are listed on the New York Stock Exchange.

Zhou Xin said: “Nasdaq, technology is the key to distinguish NewPay from other financial institutions.

You should be aware of the power of algorithms. The combination of algorithms and data can provide added value for almost all financial businesses.

Our foundation is technology, which I define as financial technology, Fintech.

After Madoff's thunder, NewPay will monopolize the entire capital market, and we have massive data around the world.

We need to tap into the value of this data. "

NewPay in China is completely isolated from NewPay abroad to prevent key data from being controlled overseas.

Peter had a general understanding of Zhou Xinfu's strategic development plan for NewPay, which was still relatively conservative.

“I think we should develop both sides at the same time, financial technology, a very good concept, I don’t deny that it is very helpful.

The combination of data and algorithms has produced very high-quality results in terms of customer acquisition, promotion, and risk control, and these results are constantly being iterated.

This is our core competitiveness.

But I think we can definitely walk on two legs without being stuck on technology.

To be honest, NewPay is not short of money. We control our personnel very strictly, and the treatment is only average. With the help of financial data on a global scale, our costs are actually only manpower and servers.

Since NewPay has set the standard for electronic payments globally, we have less need to spend money on marketing.

So to be honest, we don’t need to go public. NewPay is not short of money. It’s the Ministry of Finance and Henry. He can’t solve the current situation and wants NewPay to go public to help him boost global consumers’ confidence in Amerikan’s capital market. .

NewPay needs to go public to help him distract the media's attention.

These are not what NewPay wants. We can definitely raise a lot of money by going public. I think we can take advantage of this financial crisis to acquire a bank.

We can be on the financial side and the technology side at the same time, walking on two legs. "

In later generations, Alipay became the online merchant bank, and WeChat Pay became the WeBank.

Not only Chinese electronic payment manufacturers play this game, but foreign electronic payment manufacturers also play.

Korea’s Kakao is a chat software similar to WeChat and also provides electronic payments, called Kakao Pay.

It’s interesting to say that Tencent is an investor in kakao, holding a maximum of 13% of the shares, while Alibaba is an investor in kakao pay.

The Financial Commission of Korea launched the "IT·Financial Integration Support Plan" in 2015, which allowed the establishment of Internet banks with Korean characteristics, and issued an Internet banking license to Kakao the following year.

It has given this type of Internet banks looser regulatory standards, including the principle of industry-bank separation (in the original Korean standards, industrial capital of non-financial institutions cannot hold more than 4% of bank shares), and the minimum capital has been reduced from 1000 billion won to 500 Billions and so on.

The same goes for Neon, because NewPay entered the Neon market earlier. Korea did not allow NewPay to enter due to the principle of geographical protection. Neon’s NewPay established a digital bank as early as last year, focusing on providing differentiated products from traditional banks.

After NewPay Bank went online, it expanded rapidly with the help of 711 and Lawson.

But what Peter wants to do is not a digital bank for electronic payments. Instead, he wants to acquire large traditional banks and make NewPay a real financial giant.

“Every financial crisis will be a process of ebb and flow, and after every tide, there will be dead bodies pushed to the beach by the waves.

The wind and waves are particularly strong this time, and a giant whale may fall. "

Zhou Xin thought to himself: "You are right. The banks that collapsed this time include investment banks like Lehman Brothers and commercial banks like Washington Mutual."

What Zhou Xin didn’t know was that even Silicon Valley Bank could go bankrupt in the future.

"I agree with your idea. When these assets have a suitable price, we can start acquiring them." Zhou Xin thinks there is no problem.

With the further listing of NewPay, although he still holds control of NewPay, his shares will be further reduced, and more forces will come in to share the dividends brought by NewPay's development.

The financial business that operates NewPay is diversified and may develop into a combination similar to Goldman Sachs, PayPal and Wells Fargo in the future.

Peter Thiel said: "Then we need to be listed on the New York Stock Exchange. In addition, Madoff will definitely be a landmark event and an unprecedented event.

Henry wants to use NewPay to eliminate media attention on the Madoff incident, which is unrealistic.

I have a hunch that this financial crisis will be particularly cruel, and many assets will fall to unimaginable prices.

But if we want to eat a relatively good piece of cake at this time, we need to plan ahead. "

For example, Washington Mutual Bank, before its bankruptcy in 08, was the fourth-largest bank in Amerikan's personal customer assets. It has a history of more than a century. According to the benchmark of Bank of China, it is similar to Bank of Communications.

The assets on the balance sheet alone exceeded 3000 billion U.S. dollars. It went bankrupt because of a liquidity crisis. When it went bankrupt, there were still 3000 billion U.S. dollars in assets on the books.

It was eventually acquired by JPMorgan Chase for a mere US$19 billion.

Opportunities like this are simply not available to NewPay.

The top-quality Tang Monk meat must have been eaten first by the monster closest to Lingshan.

Because Washington Mutual was taken over by the Federal Deposit Insurance Corporation after its bankruptcy, companies that wanted to acquire the bank included Citigroup, HSBC and Wells Fargo. Why did JPMorgan Chase win in the end?It’s not just because of the deep connections in Washington.

Including 20 years later, during the collapse of Amerikan Bank in 2023, First Republic Bank, which also had assets of US$2291 billion on its books, was acquired by JPMorgan Chase for US$109 billion. It was still paid in batches and only needed to pay a down payment of 26 billion. Dollar.

Even during the 08 financial crisis, Morgan received US$290 billion in support from the Federal Reserve to acquire failed financial institutions.

With the acquisition of Washington Mutual Bank, Morgan became America's largest East Coast bank. In the future, through several mergers and acquisitions, it became a giant bank accounting for more than 10% of national deposits.

So, back to the question, these top Tang Monk Meats can’t get NewPay, and they can’t even get admission tickets.

Peter has been the CEO of NewPay for so long, and he also understands this truth very well. He wants to plan ahead and find an opportunity for NewPay.

Even if it's just a regional commercial bank, NewPay doesn't have to worry about having no customers. They control online channels, which is a natural source of customers. They just need an opportunity.

Even if it is a regional bank, Peter is sure to use NewPay's energy to build it into a national bank.

When Zhou Xin and Peter were discussing the next step of NewPay in Lujiazui, Wall Street on the other side of the ocean was completely detonated by a piece of news.

“Bernard Madoff suspected of securities fraud”

The fewer words, the bigger the news.

The media didn't have the time to think of headlines; they needed to get the news out as soon as possible.

To be honest, these Americen media outlets have received some vague information one after another from Madoff's control to Robin's control.

Many media practitioners have posted messages on Weibo, hinting that major events have occurred recently.

However, due to the joint control of Washington and Wall Street, the news was delayed for a month.

Washington needs time to sort things out and prepare a plan to deal with the wrath of broad investors, and Wall Street needs time to run.

Once the news breaks out, it will cause a crisis of trust among global investors in American financial institutions. From securities to trusts to insurance, no one can escape.

Therefore, it is the consensus of everyone not to spread the matter.

Ordinary people can only see the stock market plummeting every now and then. The media are saying that now is the bottom, and there are endless adjectives for various bottoms.

It's like Big A's policy bottom and market bottom, which I have only heard of but never seen.

During this period, the leeks of Amerikan had the same feeling as the leeks of China, that is, they always said that the bottom has been reached, so why are they still falling?
Starting at three or four hundred points every now and then, how can you not let people play?

"Bernard Madoff, the former chairman of the board of directors of Amerikan Nasdaq Stock Market, was arrested by the police on suspicion of securities fraud on the 11th. On the 12th, the court urgently froze all the assets of his securities trading company and hedge fund company in order to appease investors.

Madoff is accused of manipulating hedge funds, causing investors to lose at least $2000 billion.This is definitely the largest fraud in the history of Wall Street.

On the 12th, the Americen Securities and Exchange Commission asked the federal court to temporarily freeze all assets in Madoff's name until the court appoints someone to take over the company's finances.

Linda Chatman Thomson, head of the Securities and Exchange Commission's Legal Division, said: 'We are taking swift and decisive action to protect investors' remaining assets. '"

"It is reported that Madoff told Baidu CFO Jorge Reyes in December last year that Madoff's hedge fund and investment advisory business were pyramid schemes.

Just yesterday, he admitted to FBI investigators that he paid investors with money that didn't exist. "

"Spanish financial giant Santander issued a risk warning. Due to the Madoff fraud case, the bank's hedge fund Optimal is expected to lose 53.3 billion euros, which is also the largest loss the bank has ever faced."

"BNP Paribas recently announced the amount of losses. The bank said in a statement that the bank and Nasdaq have no direct investment business, but are implicated by hedge funds and may suffer losses of 8.3 million euros."

"I deserve to die, I really deserve to die." Richard Spring sat in front of the mirror with regret on his face. He watched his remorseful expression in the mirror disappear in an instant. He picked up the whiskey on the table and drank it all, and then Jumped from the 23rd floor.

He was a securities analyst on Wall Street and invested $1100 million in Madoff, accounting for 90.00% of his personal net worth.

This is actually not critical, because if his personal assets are gone, there is still a chance to earn them back. 90.00% of them are gone, and the remaining 5.00% is enough for him to be an ordinary middle class person.

The fatal part is that he helped the Madoff Fund develop dozens of "downlines", and he asked his friends and his own customers to buy Madoff financial products.

If he doesn't die, these people won't let him go.

"We weren't sure how much we would get back, and we invested the money in Americen's Field Sentry hedge fund, and then they invested the money in funds managed by Madoff.

Yes, we are now urgently contacting Field Sentry Hedge Fund. "A spokesman for Korea Life Insurance Company admitted in an interview that they were also affected by the Madoff incident.

Korea Life Insurance is the second largest insurance company in Korea.

Field Sentry Hedge Fund is a fund company that is deeply involved in the Korean market. In other words, it specializes in scamming Korean people.

There are about 20 asset management companies in Korea, which invested money in the Field Sentry Hedge Fund, and then the Field Sentry Hedge Fund sent the money directly to Madoff. The total losses of Korea's financial institutions were about 10 billion. Dollar.

　Yesterday’s update was under review, I’ll ask the editor to release it tomorrow
　　
　
(End of this chapter)