It’s not really an IOU. It is collateralised, so the risk to Alice in theory is much smaller. The collateral is typically adjusted daily, so technically there i

It’s not really an IOU. It is collateralised, so the risk to Alice in theory is much smaller. The collateral is typically adjusted daily, so technically there is still a residual risk if there was a large intra day movement. But I wouldn’t think of it as a bank loan.