Deposit Networks: Community Banks' New Infrastructure for Resilience
Related Episodes
Asset Inflation Locks Younger Generations Out of Homeownership
Asset price inflation and construction bottlenecks push homeownership out of reach, forcing fintech to innovate the entire housing funnel for generational wealth.
View Episode Notes →
Investing in Founder Strengths Amidst AI-Driven Market Shifts
AI is creating unprecedented company sizes, shifting value to private markets and demanding investment in "strength of strengths" to capture winners.
View Episode Notes →
a16z's Content Revolution: Building Venture Capital's Network
Andreessen Horowitz built a venture capital powerhouse by pioneering transparency and content creation, fundamentally reshaping how startups attract talent and secure investment in the digital age.
View Episode Notes →
AI Boom: Early Stage, Market-First Investing, and 3D Content Creation
AI's early boom offers tangible value, unlike past hype, transforming coding and 3D content creation. True value emerges at the individual level, with enterprise adoption evolving.
View Episode Notes →
AI Moats Persist: Defensibility Evolves Beyond Differentiation
AI transforms software markets from "IT spend" to "labor spend," creating trillion-dollar opportunities in overlooked areas by making software cheaper than human labor.
View Episode Notes →
AI Transforms Software Development Lifecycle and Economic Structures
AI transforms software development, creating trillions in value by shifting developers from coding to orchestrating AI agents and enabling rapid legacy code modernization.
View Episode Notes →Resources
Resources & Recommendations
Books
- "The Cold Start Problem" (Author not mentioned) - Referenced as a framework for understanding the challenge of building a network effects business, especially in the financial sector where initial adoption can be difficult.
People Mentioned
- Gene Ludwig (Former US Comptroller of the Currency) - Discussed his career trajectory, his role in addressing banking issues in the 90s, and his involvement in the creation of the reciprocal deposit mechanism.
- Paolo Bertolotti (Founder and CEO of ModernFi) - Mentioned for his expertise in bank balance sheet optimization and founding ModernFi to address deposit network needs.
- Jamie Diamond (CEO of JPMorgan Chase) - Used as an example of a CEO of a large bank who would be inaccessible to small business owners, contrasting with the accessibility of community bank CEOs.
- President Clinton - Mentioned in the context of his administration's focus on economic recovery in the 1990s and appointing Gene Ludwig to the Comptroller's office.
- James Carville - Quoted for his famous phrase "it's the economy stupid" during President Clinton's campaign.
- Betty Chadwick (Gene Ludwig's aunt) - Her personal experience with limited FDIC insurance and the need to open multiple accounts inspired Gene Ludwig's idea for reciprocal deposits.
Organizations & Institutions
- OCC (Office of the Comptroller of the Currency) - Gene Ludwig's former agency, responsible for regulating national banks.
- Federal Deposit Insurance Corporation (FDIC) - The government agency that insures deposits in US banks.
- ModernFi - A company focused on providing software infrastructure and services to financial institutions, particularly through deposit networks.
- NVid - A bank-owned, bank-managed consortium that operates a deposit network for banks, built with ModernFi's technology.
- JPMorgan Chase - Mentioned as an example of a large, systemically important financial institution.
- Visa - Referenced as a historical example of a successful member-owned coalition for utility services.
- DTCC (Depository Trust & Clearing Corporation) - Referenced as a historical example of a successful member-owned coalition for utility services and a systemically important financial market utility.
- SWIFT (Society for Worldwide Interbank Financial Telecommunication) - Referenced as a historical example of a successful member-owned coalition for utility services.
- Clearing House - Referenced as a historical example of a successful member-owned coalition for utility services.
- Zelle - Referenced as a historical example of a successful member-owned coalition for utility services.
- Early Warning Systems - Referenced as a historical example of a successful member-owned coalition for utility services.
- ICE Clear Credit - Mentioned as one of the seven systemically important financial market utilities.