Cyprus is currently going through some of the most critical times in its history. The result of the Eurogroup on the 15th of March was a very bad decision, for both Cyprus and Europe. In Cyprus, the decision violates the state deposit guarantee of up to €100,000 and at the same time jeopardizes the whole financial services sector, the only sector which experienced growth in recent years. In Europe, the realization that deposit haircut is now a policy tool likely to be used by governments poses a destabilization risk for the banking systems of other countries. The international reaction against this decision has been roaring.