Silicon Valley Bank (SVB) collapsed because fair value losses on its held-to-maturity portfolio rendered it insolvent and susceptible to a bank run. The nature of its depositor base (uninsured large depositors) ensured that any such bank run would lead to a swift death.
"However, the widespread realisation of this fact will ensure the hasty realisation of the endgame, which is the nationalisation of banking as a sector."
Presumably given your references to P2P lending, allocation of risk capital will then be taken up by P2P and private options, including Bitcoin and other blockchain options?
That is, it is only the maturity transformation function of banking that remains in your nationalization scenario (though it may be very messy getting there)?
"However, the widespread realisation of this fact will ensure the hasty realisation of the endgame, which is the nationalisation of banking as a sector."
Presumably given your references to P2P lending, allocation of risk capital will then be taken up by P2P and private options, including Bitcoin and other blockchain options?
That is, it is only the maturity transformation function of banking that remains in your nationalization scenario (though it may be very messy getting there)?