• lib1 [comrade/them]@hexbear.net
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    5 months ago

    When people start missing payments on their debt, it’s the banks that don’t get paid. When this happens enough, they don’t have enough liquidity to keep shit running. So they go and trade some non liquid assets to the Fed. Banks are doing this more in the past few months than they historically have prior to some regulatory changes. Like, by a lot.