Watch: Yellen Stammers After Senator Corners Her On Bailouts, Protecting CCP-Linked Deposits• https://www.zerohedge.com by Tyler Durden
"Will they get the same treatment that SVB just got, or Signature Bank just got?" asked Lankford.
"I'm concerned you're...encouraging anyone who has a large deposit at a community bank to say, 'we're not going to make you whole, but if you go to one of our preferred banks, we will make you whole," Lankford said.
"That is certainty not something that we're encouraging," Yellen replied.
"A bank only gets that treatment" under the systemic risk exception rule, Yellen continued, explaining that it takes a 'supermajority' vote to do so.
"I, in consultation with the president, determine that the failure to protect uninsured depositors would create systemic risk and significant economic and financial consequences," she said.
Chinese investors made whole?
Here is the snippet: pic.twitter.com/85iBeXC0Wn— Seidler (@SeidlerCorp) March 17, 2023