Dalio on Moody's US rating | Underestimating embedded lending | Bank fraud spike | More

Staff Writer
May 19
2 min read

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Ray Dalio says the risk to U.S. Treasurys is even greater than what Moody’s is saying

Bridgewater Associates founder and billionaire Ray Dalio warned Monday that Moody’s downgrade of the U.S. sovereign credit rating understates the threat to U.S. Treasurys, saying the credit agency isn’t taking into account the risk of the federal government simply printing money to pay its debt.

“You should know that credit ratings understate credit risks because they only rate the risk of the government not paying its debt,” Dalio said in a post on social media platform X.

“They don’t include the greater risk that the countries in debt will print money to pay their debts thus causing holders of the bonds to suffer losses from the decreased value of the money they’re getting (rather than from the decreased quantity of money they’re getting),” the Bridgewater founder said.

Nearly Half of SMB Lenders Overlook Embedded Opportunity, Study Finds

Many lenders appear to be significantly underestimating the burgeoning opportunity presented by embedded lending, potentially ceding market share and bottom-line growth.

According to a recent report, “Embedded Lending: From the Lender’s Perspective,” commissioned by Visa and produced by PYMNTS, embedded lending involves integrating credit tools directly into a merchant or provider’s platform, allowing borrowers to apply for credit at the point of payment for a product or service. This differs from traditional lending, where consumers use existing credit cards or personal loans. While embedded lending is becoming a prominent feature in both consumer and SMB segments across six major economies surveyed — Australia, Germany, India, Japan, the United Kingdom and the United States — a sizable share of lenders, particularly those serving SMBs, have not fully embraced its potential. Roughly 45% of lenders serving SMBs currently do not offer any embedded lending product. Even among those offering embedded options, interest in launching new embedded lending products in the next two years is notably low, with only about 1 in 5 lender respondents indicating they are very or extremely interested.

Global Crime Rings Exploit Meta Platforms, Triggering Bank-Fraud Spike

Criminals are “flooding” Facebook and Instagram with bogus ads and marketplace listings, fueling what The Wall Street Journal calls an “epidemic of scams” that is ensnaring U.S. consumers and global regulators alike.

Banks are feeling the strain: nearly half of all scams reported on the peer-to-peer Zelle network at J.P. Morgan Chase between mid-2023 and mid-2024 originated on Meta properties, according to sources cited by the Journal. British and Australian regulators have logged comparable patterns.

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