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A comment on WeWork Isn’t a Tech Company. Parent comment

Re:WeWork Isn’t a Tech Company by SilasX on Wednesday August 21, 2019 @03:08PM (#20760493)
It is a bad business generally, because it requires an unfailing entity to exist as a stopgap ("lender of last resort") who will take the hit to prop you up as the short term payment becomes due, for the inevitable times when the payments don't line up. WeWork doesn't (yet) have that.
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Re:WeWork Isn’t a Tech Company by goatinaboat on Thursday August 22, 2019 @05:13AM (#20766114)
True, but that is a general property of fractional reserve banking, not specifically of maturity transformation.

There is a lot of ideology around homeownership both for and against, I am on the for side, so when asked about the social value of banking, that’s my go-to answer.

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Re:WeWork Isn’t a Tech Company by SilasX on Thursday August 22, 2019 @10:17AM (#20768307)
>True, but that is a general property of fractional reserve banking, not specifically of maturity transformation.

But maturity transformation requires FRB.

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Re:WeWork Isn’t a Tech Company by goatinaboat on Thursday August 22, 2019 @05:07PM (#20772358)
Not if you start with enough capital. But it is drastically more efficient with FRB.
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