Welcome back to The Breakdown with me, NLW.

It's a daily podcast on macro, Bitcoin, and the big picture power shifts remaking our world.

The breakdown is sponsored by Nidig and produced and distributed by CoinDesk.

What's going on, guys? It is Saturday, September 18th, and that means it's time for the weekly recap.

There was a heck of a lot going on this week, so let's do a good old-fashioned recap. We'll look across a couple different areas. And let's start with the

latest from Evergrand. Yesterday, I gave you the 101 level overview and not that much is new,

but if you haven't caught that show, Evergrand is a Chinese real estate developer,

formerly the second biggest in the country that has seen just a huge reversal of fortunes this

year. Its share price is down 85%. Its bond is trading 30% down this week and even had to have

markets shut down. 1.5 million people have put deposits down on properties that aren't built yet,

and the company has overall more than $300 billion in outstanding debt. Zero Hedge

wrote that Evergrand is the single largest high-yield dollar bond issuer in China, accounting

for 16% of all outstanding notes. The Wall Street Betts crowd is watching this closely. Wall

Street Silver tweeted, the next stage is where every bank in China gets suspicious of their

counterparties,

because nobody is sure whose balance sheet is all fucked up right now. Nobody will want to lend

to companies similar to Evergrand and banks don't want to lend to each other. The other issue

is individuals losing money in China. These real estate development companies sell financial

products direct to consumers to fund their development. Everyone will be much more suspicious

going forward. This might kill funding for other similar real estate development companies.

Maybe the most interesting development comes from Chinese state media that is starting to

indicate that maybe Evergrand should not expect the bailout that so many are assuming will come.

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