There is little question that the use of SPVs is a red flag that corners are being cut. The history of that financial instrument is replete with examples like Enron.
Its basic use, to move risk off ledger is questionable. The risk involved becomes systemic risk as opposed to the risk a single firm might take. It doesn't disappear. It just moves up the threat chain, out of sight, out of mind, but still there.
If data center risk becomes systemic risk and collapses causing a liquidity crisis, and the numbers involved are large enough to cascade into systemic crisis, it will only be the latest episode in a checkered history of that questionable legal and financial practice.
Be Well and Do Well.
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