Consider the impact of financial infrastructure collapse and who really gets hurt through the lens of Wirecard, Enron, and Lehman Brothers. Yes, there are investors in the entity that will lose value. But there are also clients and counterparties of Wirecard, like Curve, Revolut, and Crypto.com. In the case of Lehman, there was a $40 trillion derivatives notional amount that took twenty years to wind down. We also consider the most recent $500,000 hacking in DeFi of an automated market maker to see if there are common threads to be drawn between the two worlds.
Your history is incorrect about Accenture. Andersen Consulting split from Arthur A several years before Enron. It became Accenture and a public company. Arthur A was actually competing against Accenture on some consulting mandates before it tanked.
Article is well done overall. Slicing and dicing of functions and services is confusing and will lead to numerous disputes in long run. Regulators are way behind the curve here. Worst is confusing consumers with too many options and setting stage for less savory firms to take advantage. I'm not advocating consolidation, but the lack of financial literacy in US is a big problem. Consumers are paying a price for it, witness travesty of Robinhood. Informed consumers wouldn't have chased it.
Your history is incorrect about Accenture. Andersen Consulting split from Arthur A several years before Enron. It became Accenture and a public company. Arthur A was actually competing against Accenture on some consulting mandates before it tanked.
Article is well done overall. Slicing and dicing of functions and services is confusing and will lead to numerous disputes in long run. Regulators are way behind the curve here. Worst is confusing consumers with too many options and setting stage for less savory firms to take advantage. I'm not advocating consolidation, but the lack of financial literacy in US is a big problem. Consumers are paying a price for it, witness travesty of Robinhood. Informed consumers wouldn't have chased it.
Thanks for the correction -- appreciate the distinction, will be more careful.
I agree consumers are not likely to know what services they have and from whom. It will all just have the Apple logo on it. Think Different!
Really good article thought provoking thanks
Appreciate it. It's a wheel of time.