In response to gross mismanagement by the banks in Cypress, the government plans to take (steal) money from depositors and just give that money to the banks. This is being done supposedly to prevent the complete collapse of the Cypress economy. This is of course utter madness. The people of Cypress see this for what it really is and have taken to the streets in protest.
The big question is, if the banks are successful with this scam in Cyprus, what's stopping them from doing the same in Europe and even the United States? Many have been predicting a complete collapse of the global economy. Cypress may be a test case of things to come.