Re:Yellen says government will help SVB depositors but rules...
by ckdarby on Sunday March 12, 2023 @12:41PM
(#35122362)
Uneducated in this space, but why don't we see more T-Bill ownership transfer?
I owe vendor $100k. I transfer $100k of T-bills. They are paid cash equivalent, no?
The obvious thing that comes to mind is I am guessing there is some lockup of those t-bills maturing? Wouldn't this make sense for the Fed (Or some government entity) to be the broker+last resort to allow conversion of t-bill to someone else at a cost of breaking the term?
Even though the t-bill itself would still exist until maturity on the Fed's side and now company A is able to always guarantee payment transfer.
I owe vendor $100k. I transfer $100k of T-bills. They are paid cash equivalent, no?
The obvious thing that comes to mind is I am guessing there is some lockup of those t-bills maturing? Wouldn't this make sense for the Fed (Or some government entity) to be the broker+last resort to allow conversion of t-bill to someone else at a cost of breaking the term?
Even though the t-bill itself would still exist until maturity on the Fed's side and now company A is able to always guarantee payment transfer.