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> They had already markedly increased their loan drawdown from FHLB from $3B in 2021 to almost $9B in 2022 For that matter, I kinda wonder about the risk asses
by EntrePrescott 4y ago
> They had already markedly increased their loan drawdown from FHLB from $3B in 2021 to almost $9B in 2022
For that matter, I kinda wonder about the risk assessment and loan decision mechanisms of those FHLBs. Even aside from the fact that I don't know how the crypto stuff of Signature would fall under the "housing finance and community investment" that the FHLBs are supposed to provide liquidity for, I can't really imagine how the people who let those loans increase by 6·10⁹$ within just a year could look at where the money would go at Signature and tell themselves "oh that's okay, we're gonna get that money back".