Say Goodbye to Your Safe Deposit Box

In 2013, the banks of Cyprus confiscated the deposits of many of their clients. There was no warning, and there was little in the way of explanation, except to say that it was “necessary,” as the banks had been mismanaged to the point that, unless the deposits were confiscated, the banks would fail.

Governments and banks the world over nodded in agreement. This was clearly the right thing to do.

But, hang on a moment. The depositors had entrusted the banks with the safeguarding of their wealt...