Slideshow 'GSEs Were an Accident Waiting to Happen': Comments of the Week

  • August 12 2016, 7:30am EDT
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American Banker readers share their views on the most pressing banking topics of the week. Comments are excerpted from reader response sections of articles and our social media platforms.

On a proposal to turn the government-sponsored enterprises into utilities:

"The GSEs were an accident waiting to happen from the time of their creation. Nevertheless, they did provide a valuable function during the 1970's and 1980's before interstate banking came to fruition and when retirement savings of baby boomers were accumulating massive savings. They are no longer necessary."

Related Article: The Time Has Come to Turn the GSEs into Utilities

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On how Donald Trump could, as he proposed, freeze new regulations if elected president:

"All a President Trump would need … to block new regulations and reverse many on the books is a phone and a pen."

Related Article: Trump's Call to Freeze New Banking Regs Would Be Tough to Deliver

Disagreeing with an op-ed that called for more blockchain developer accountability:

"Why must they be accountable? Don't talk as if the developers were elected or that the blockchain is a technocracy. It was crowdfunded!"

Related Article: Call Blockchain Developers What They Are: Fiduciaries

On the FDIC disclosing a series of cybersecurity breaches to Congress:

"In the private sector, heads would roll over the systemic problems and subsequent attempts to cover up and mislead congress -- but inside the beltway apparently there is just no such concern over accountability and transparency. Shame."

Related Article: FDIC Promises to Adjust Cybersecurity Controls

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On a range of faster payment projects taking place in the U.S.:

"The fear of community bankers is that whatever payments system is adopted, community banks will be at a disadvantage to the mega banks that are basically creating the new system. The Fed has abdicated its role as the payment system backbone and that has community banks very worried."

Related Article: 7 Faster Payments Projects in the U.S.

On startups offering tokenization services to make online shopping safer:

"Two banks already offer tokenized, virtual credit card numbers for online purchases: Citibank and Bank of America. If Card-Not-Present fraud is truly a concern to the banks, why aren't more of them offering this kind of service? You shouldn't have to go to some fintech startup to be able to use tokenized credit card numbers for online purchases."

Related Article: One-Time Card Numbers for an Era of Endless Breaches

On holding blockchain developers more accountable (via <a href="" target="_blank">Twitter</a>):

"To use @angela_walch's analogy, less reg. scrutiny for sharing cat photos. If you wanna be a bank, expect different treatment."

Related Article: Call Blockchain Developers What They Are: Fiduciaries

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On the finding by White House economic advisers that community banks are not harmed by Dodd-Frank:

"I don't know who these advisers are but they are nothing more than Obama's 'paid liars.'"

Related Article: Dodd-Frank Is Not Killing Community Banks: White House