Establish a Global Banking Supervisor (GBS) with legally binding authority over all systemically important financial institutions (SIFIs) — those whose failure would trigger cascading losses across the global system.

The GBS operates as an apex regulator with three integrated functions: (1) Consolidated Supervision: All GSIBs must report all material positions (cash, derivatives, securities, repo) across all subsidiaries and counterparties into a unified data warehouse accessible to the GBS in real-time.

This eliminates the ability to arbitrage between permissive regulators — one global rulebook applies. (2) Unified Capital Adequacy: Replace national Basel III standards with a single global standard that treats all exposure types (credit, market, operational, concentration, systemic) consistently. Capital requirements calculated on a consolidated basis across all subsidiaries.

(3) Liquidity Safeguards: Real-time monitoring of funding liquidity across the system; automatic circuit breakers (trading halts, margin increases) if stress indicators exceed thresholds. The GBS has authority to unwind positions preemptively if systemic risks reach critical levels.

Modeled on the ECB's consolidated supervision of Eurozone banks, but with actual enforcement authority (the ECB's model has significant limitations that this design addresses).