Rehypothecation Lives

If you think that the global banking system has somehow been ‘cleaned up’ and made more stable since the financial collapse precipitated by the mispricing of Collateralized Debt Obligations and the fraud of the housing bubble you may be mistaken.

The next financial crisis will most likely expose an even greater Ponzi scheme of leveraged ownership of mispriced collateral in general, that has been ‘rehypothecated’ many times over, to the point of worthlessness…

http://jessescrossroadscafe.blogspot.com/2013/05/coming-collateral-crisis.html

 

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