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RE: LeoThread 2025-05-30 12:16

in LeoFinance4 months ago

Part 7/8:

The rapid evolution of private credit presents both opportunities and challenges in the financial market landscape. While its initial growth has been marked by promising practices and robust lending, the potential shift towards riskier loans requires careful scrutiny.

As illustrated by the connections between bank credit lines and private lending, a system fraught with complexity could lead to systemic risks, especially in a recessionary context. Furthermore, proposed regulatory changes could have significant implications for how international investments interact with private credit and overall market stability.