Banks Make Loans to Non-Banks
NDFIs, Ethereum basis trades, Six Flags and snail farming.
Three themes that we have talked about a lot around here recently are:
These things are perhaps related. If you are a bank, and you lend someone money to buy a car, you will try very hard to make sure that the car actually exists. You will take the title to the car and keep it in a safe place. You want to get paid back, and the car is your collateral, so you will spend some time thinking about the car.