The way that corporate bankruptcy works the same way as corporate securities: It puts people in peril of losing the means of making financial statements, or by being lied to and duped in a way that keeps them from making their own financial decisions, because what they think they know and what they are told is a lie.
The way the system works is that people who want to make short-term profits lose a lot of credibility. In order to remain an asset, they need the confidence – and the ability to pay back those losses — to show that they can earn what they think is a lot better.
Now, what the banks and the banks' supporters have said so far is that they are going to make short-term profits, but that they're going to do it in a way that creates an additional investment opportunity.
We've all seen the short-term gain, and when that opportunity is available, we don't do what they are saying but what they're able to do. So while I can certainly see a few banks being willing to invest and make short-term profits with money they're never going to see after this happens, I'm sure that those who are interested and are aware of the risk of short-term losses and the consequences.