3 ms·
Sorry to say it, but no, you. You are missing the point. The regulations on banking created and enforce those legally binding separations in assets that you ar
by svnt 4y ago
Sorry to say it, but no, you.
You are missing the point. The regulations on banking created and enforce those legally binding separations in assets that you are shocked don’t exist.
- olalonde 4y agoSeems like a more robust solution would be to just fix the bad bankruptcy laws instead of "regulating" every possible variant of "company has custody of X which is actually owned by customer Y". There ought to be a simple way to declare: "this is not company property and is off limits to company creditors in the event of a liquidation".
- prepend 4y agoThese aren’t bad bankruptcy laws. They are actually good and protect things that are most important- bondholders and higher priority creditors. I don’t think letting companies set their own creditor priorities would really be feasible if we want to have predictable securities markets. I assume that if we let companies protect certain assets from creditors during bankruptcy they would set aside massive bonuses and all sorts of other shenanigans.