Cryptocurrency Q&A
What is a shadow loan?
What is a shadow loan?
KimonoGlory
Mon Dec 16 2024
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7 answers
1320
A shadow loan refers to a loan provided by informal financial institutions that engage in lending activities without being officially recognized as credit or loan companies. These institutions, often known as 'shadow banks', operate outside the scope of regular banking regulations, posing potential risks to the financial system.
7 answers
GeishaElegance
Wed Dec 18 2024
Shadow banking represents financial activities that mimic traditional banking operations, particularly in the realm of lending.
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CharmedClouds
Tue Dec 17 2024
This terminology reflects the role of intermediaries that facilitate financial transactions without being traditional banks.
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Michele
Tue Dec 17 2024
These activities occur outside the purview of conventional banking institutions.
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emma_carter_doctor
Tue Dec 17 2024
Another term used to describe shadow banking is market-based finance.
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SeoulSerenity
Tue Dec 17 2024
Shadow bank lending serves a similar purpose to traditional bank lending, providing funds to borrowers who may not meet traditional banking criteria.
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