“…even though the ‘money’ is still there in aggregate, there is temporary confusion over the true liquidity of the aggregate of assets, and so the net equity is not being treated as equity, which has knock-on effects.”
Random Heresies on Bitcoin and Fractional Reserve
Or, equity, leverage, liquidity, and duration as a guide to understanding money
https://allenfarrington.medium.com/random-heresies-on-bitcoin-and-fractional-reserve-d16b9a683851
“…even though the ‘money’ is still there in aggregate, there is temporary confusion over the true liquidity of the aggregate of assets, and so the net equity is not being treated as equity, which has knock-on effects.”
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