Xie: Mitsubishi UFJ wrote a physical $9B check to Morgan Stanley in 2008
Linda Xie · Beyond Cryptocurrencies · Dec 15, 2018 · at 2:06
Linda Xie, co-founder of Scalar Capital and former product manager at Coinbase, highlights operational vulnerabilities in traditional banking during a presentation at the a16z Summit.
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“So in 2008, Morgan Stanley needed an injection of capital to help prevent them from collapsing. So Mitsubishi U of J agreed to send this money, and they sent nine billion dollars, but it was a banking holiday in the US and Japan, and so they weren't actually able to wire the money. So what they had to do is write a nine billion dollar physical check and hand it in person to Morgan Stanley executives.”
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