U.S. Federal Reserve Investigates Major Banks' Involvement in Non-Bank Lending Amid Market Uncertainties Impacting Cryptocurrencies

Caution Advised Over $2 Trillion Non-Bank Lending Risks

The Federal Reserve Board (FRB) is requesting detailed information from major U.S. banks regarding their exposure to non-bank lending in the private credit sector. According to insiders, this move aims to assess the potential systemic risks to the financial system following a sharp increase in redemption demands and rising non-performing loans in this market.

The authority's investigation...