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> creditors are converted to shareholders and shareholders are massively diluted I don't know much about large-scale economy and business, but if I ever decide
by Jare 7y ago
> creditors are converted to shareholders and shareholders are massively diluted
I don't know much about large-scale economy and business, but if I ever decided to learn it would be to learn why this is not completely the norm. I simply cannot comprehend the existence of "free" bailouts.
- rmrfstar 7y agoDodd-Frank included a thing called "TLAC", which is this. A lot of politics happened. In the US we have a "notice and comment" process on proposed regulations. You can see the politics play out in the comments on the Fed's proposed TLAC rules. If you read them, you run the risk of becoming cynical about our political process.