Trio the Nobel Laureates – 2022, in Economics, Ben Bernanke, Douglas Diamond & Philip Dybvig asserted banks are crucial to the economy, they are also dangerous.
The three laureates’ central insight was that banks were not the neutral intermediaries between savers and borrowers that other economic models had assumed. Instead, they offer vital services to the wider economy: gathering information on borrowers, providing a liquid means of saving and deciding to whom to extend credit. From this insight flows an important conclusion: because banks are crucial to the economy, they are also dangerous.
Money Protects (MP) endeavors along its products concept based on similar research on credit crunch and liquidity disequilibrium on macro econometrics cycles on global economies. MP embarks on open banking to leverage its product-services on maintaining the equilibrium of defaults due to liquidity and credit risks resulting in huge Non-Performing Loans/Assets. Gross loss due to massive withdrawals on contagion crisis shall always affect economies and GDPs of a countries. The imbalance created leave banks to do provision on impairments though problem stays much longer in the economies and along year-on-year addition of trillions of USD globally.