LIBOR, the London InterBank Offered Rate, has been in the news lately as heads begin to roll in London and soon New York now that it’s clear LIBOR was manipulated by big banks, affecting the value of hundreds of trillions worth of financial instruments. This is a complex topic and it will be awhile — perhaps years — before it is clear how or even if you and I were damaged by these shenanigans, but everyone seems to agree that it can’t be allowed to happen again. But how? To make this happen I think we need a new understanding of what “transparency” means in financial transactions in the 21st century.

Transparency is supposed to mean […]