What losses are being socialized? This is a liquidity issue that is being reconciled with short term loans, not a solvency issue being bailed out with tax dollars.
The socialization of the losses is the mechanism where any losses that do happen will be passed on to other banks, who will pass that on in some way. I am certainly glad it isn't taxpayer funds, but it's not a free lunch.
"Hold on, let me just... I'm sure there's a Good Reason around here somewhere..." - Hot Take Taylor
If there was no risk, JP Morgan would be willing to step in to capitalize. The fact that they won’t tells me this is a bailout.