This podcast episode explores the intricate factors leading to bank failures in seasons one and two, delving into the specific case of First Republic Bank. The discussion delves into the complexities of hold-to-maturity securities, the strategies regulators employ to address bank runs, and the impact of negative equity on banking dynamics. The episode highlights the challenges of banking during crises, the current commercial real estate debt crisis, and the perspectives of Arthur Hayes and Balaji on the US banking system. The conversation further examines the role of the Federal Reserve, the potential for tech companies' involvement in banking, and the disruptive potential of blockchain technology.
