By Cory Doctorow (GPG 0xBF3D9110957E5F4C) @doctorow.pluralistic.net · 25/07/2026A lender who can "securitize" their loans (turn them into bonds and sell them off to investors) can insulate themselves from risk, because the people who buy the bonds are now carrying that risk. 26/ 2231 23
By Cory Doctorow (GPG 0xBF3D9110957E5F4C) @doctorow.pluralistic.net · 25/07/2026So many of our crises come from the intersection of these two phenomena: the promise of reducing loan risks without losing the risk premium *and* the fact that risk reduction can fail suddenly (or be revealed as nothing more than risk-shifting). 27/ 1324 32
By Cory Doctorow (GPG 0xBF3D9110957E5F4C) @doctorow.pluralistic.net · 25/07/2026The first phenomenon creates vast credit bubbles, the second one pops them. This leaves would-be usurers on an endless quest for new ways to lend money at a premium to poor people while reducing their own risk. 28/ 1253 25
