“That’s how capitalism works”!!
Has he been scrolling r/antiwork and r/collapse, signing in at the Bear of Hex, keep a copy of the Communist Manifesto bedside?
Is this just a joke?
On a serious note, if it’s not, how far are the puppets in government prepared to go in what could be a cataclysmic moment of comeuppance for the Economic Terrorists of Wall St?
Maybe? I don't know as much about insurance, but they would still rely on banks to pay out claims like this, which would just cause a bank run somewhere else. The whole reason this is going so fast is that it's not supposed to happen with regular deposit banking. Banks are supposed to have way better risk management than SVB and Signature, but that's also not necessarily regulated. I would think that this is going to have to result in new regulations, but the fact that the Fed is saying that SVBs shareholders and creditor can get fucked might mean that the industry is going to start requiring new controls internally.
Or nothing will change and the industry and politicians will waive it off as an aberration. It's pretty hard to say.