None of this is about the clearing system. It is about money (ie. credit [ie. debt]) creation. New money must be continually created to replace the money destro

None of this is about the clearing system. It is about money (ie. credit [ie. debt]) creation. New money must be continually created to replace the money destroyed through principal payments. If new money is not created at a sufficient rate, the existing money is rapidly destroyed as pre-scheduled principal payments eat it up. >Also, where's the "rolling back of prior transactions"? AIG's CDS/O's should have basically all failed, per the rules of the system. These were just papered over. "Pre-emptive rollback" might suit better.