David Seroy: Why All Shadow Banking Credit Has to Squeeze Through Repo

We have to look at the offshore dollar system and we say there's tons of people offshore that use and want dollars but they don't necessarily have access to the commercial banking system. And because they're not always as regulated, they can just create credit out of out of thin air with really like no reserve requirements. Like they could in theory do zero reserve requirement fractional reserve lending.They can just boom boom David I just created you a billion dollars. But what they are ultimately limited ...