Introduction

Nick Carter: The traditional banking system has always been insolvent at a systemic level. And that means it's inherently unstable and prone to periodic, just major bouts of volatility. He says the issue is the balance sheet doesn't matter until it's the only thing that matters. That insolvency is more than just a liquidity crisis. It is actually a solvency crisis. There are two ways to solve it. Other interest rates have to come down. Or the other way is the banking sector is just going to have to raise more fresh equity. We're going to talk a lot about that later in the episode.

Play episode from 00:00

Transcript

The AI-powered Podcast Player

Save insights by tapping your headphones, chat with episodes, discover the best highlights - and more!

Get the app