Michael S. Barr: “Yes, I do think that bank mismanagement was at the core of this.”

The banks we regulate, in contrast to stablecoins and crypto markets, are well-protected from bank runs through a robust array of supervisory requirements.

The argument for why regulation and monetary policy are both at the Fed is that it is supposed to inform each other.

The report that we released suggests that both the Board in Washington and the San Francisco Fed did not hold up the bank with enough pressure.

What we found is that supervisors were essentially too timid and too slow to raise those standards in a timely enough way.