This assumes their reserves can be liquidated 1:1 in time of panic instead of taking a massive haircut Also, missing 5% of their reserves means the first 95% o

This assumes their reserves can be liquidated 1:1 in time of panic instead of taking a massive haircut Also, missing 5% of their reserves means the first 95% of withdrawals get 100% of their money and the last 5% get 0%... Hence the bankruns on Silvergate, Silicon Valley Bank, and now USDC