We are excited to publish our first Transformative Responses Report today. In this report we shine a light on the fragility of the financial system before and during the Corona crisis. Drawing parallels between the enormous intervention of central banks in 2008 and 2020, we identify a deeper and still unsolved problem of lacking regulation in the shadow banking system. With the pandemic triggering an economic standstill, the report exposes systemic risks and the problematic role of the shadow banking system in the liquidity supply of financial markets. We ultimetaly suggest to put in place substantial safeguards to avoid a cascade of bank and shadow bank rescues.