why is central banking bad
Why is central banking bad
Camden Mitchell
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Joseph Nelson
this is why fren.
youtube.com
Nolan Butler
What channels should I check out for redpills like this?
Connor Lewis
When done properly, it isn't. The problem is that most central banks have no idea of what they're doing, and that's why you see periodic outbreaks of hyperinflation in shithole countries.
Justin Rodriguez
they always say why it's bad, but never an alternative.
Alexander Turner
Free banking system. Hayek talked about this extensively in his book about it.
Logan Hall
This helped me understand why manipulation of the money supply and interest rates is bad.
Kevin Watson
Central banks aren't the real problem. They're just a symptom of the fractional reserve scam we call our financial system.
Fractional reserve banking was always a shell game. Plebs would lend their gold to a bank for a return on interest. You could technically withdraw all of your gold. But not practically.
If enough plebs tried to withdraw in the full amount at once, you'd get a bank note for your gold that you could retrieve on the other side of the continent. You could get on your horse, travel through bandit country and maybe a warzone, maybe lose a horse or family member along the way, just to get where the reserves were held. Or you can play along and spend the IOU, like every thing's fine.
After the industrial revolution, travel became easier, but feeding the ponzi became a bit more difficult. Every nation that had a gold backed currency failed in less than a century. America even started banning the possession of gold ingots and confiscating it to keep the scam going.
Thank god the sham finally came to an end. Sure, 1 GBP is worth chicken tenders on the kids menu, not a pound of sterling silver. But now that we can admit we have a problem, we can at least hedge with precious metals. Unfortunately precious metals can't be transmitted digitally. So we've always depended on banks for our economic velocity.
This is where bitcoin comes in. It's the first natively digital and global currency. 1 BTC=1 BTC.
Ayden Ross
nice
Xavier Gonzalez
There were a few banks in history that never gave out loans and only made money from fees. The one I’m thinking of was a Dutch one and its reputation eventually became so well respected that their paper receipts were accepted as tender in other neighboring countries.
Grayson Gomez
Brandon Lopez
kikes
Christopher Martinez
Interesting. So how would that work today? Savings account wouldn't exist, right? Because they aren't loaning the money to afford some interest. So is it strictly a place to leave your money in and that's it? No loans, no savings account option. Which I guess isn't bad anyway. I don't take loans and savings interest is so low you might as well have it in cash or push it in something with real yield.
Noah Watson
what about bitcoin cash
Tyler Johnson
jews
Isaac Wilson
checked
Brody Flores
Look up communism
Luis Hughes
Because its a literal ponzi scheme
Adrian Ramirez
why do some retards keep insisting that money is made out of thin air?
the reality is much darker than that childish notion.
Lincoln Jones
beware of the well spoken man that tries to sell you bullion or cars! he is jewing you. you know it and you still buy it. that's because he sells you fear. fear of missing out or fear of loss or both. he knows how to make you open your wallet. that's what he does for decades. and if not you then goes to the next fool. there is always a fool that buys fear.
Ayden Gutierrez
>A Federal Reserve bank is a privately owned corporation established pursuant to the Federal Reserve Act to serve the public interest
britannica.com
Charles Thompson
it optimizes society for productivity at the expense of worthwhile existence
John Nguyen
>at the expense of worthwhile existence
hm so central banks take away the worthwhile from your existence? now that you got to explain...
Asher Stewart
not me personally
central banks make the majority of people unable to stop working by making their currency loose value a little faster than consumer goods do
endless work is slavery, slavery is not a worthwhile experience
Joseph Lewis
Is it fear?
Brayden Cooper
historically, it has never been "done properly"
in fact, every countries central bank reacts to crises (economic, Military) in the same way: print more Money to Combat the Crisis in the short term
sorry for random caps but too lazy to correct
Aaron Ross
Elaborate please
Brandon Hernandez
you are not making sense
Gavin Cooper
>central banks make the majority of people unable to stop working by making their currency loose value
that is just simply not true. if the majority of the people could save up they have plenty of options that are inflation proof. inflation keeps people from hoarding money and forces savings to partake in the economy instead of being a dead weight. it's a pretty good system all things considered. also central banks set interest rates technically they don't print any money. thy can take money out of circulation or reintroduce it as needed also by open market operations sometimes.
Jonathan Morales
Landon Parker
It's not. The only people who say so are people selling gold.
Eli Smith
what is the reality then?
Xavier Barnes
reality is money is not made out of nothing. money is debt. more precisely obligation, a promise for future performance of services or goods. it's a clever form of fungible iou. gold or paper the medium doesn't matter.
when the bank "creates" money they basically take your non fungible contractual promise of future payments with interest and write a fungible iou and hand it to you. that's not out of nothing, it is based on your future performance.
since money is just an obligation for goods and services it doesn't matter if it's based on past current or future performance. the only difference is who has the risk and for how long. exchanging current performance for money is riskless of course, exchanging past performance for money moves the risk to the service provider and exchanging future performance to money moves the risk to the lender.
Leo Evans
you mean they can fuck with the Money supply and are unelected entities?
fuck.them.
you know what sets interest rates if central Banks dont exist, Right? you do know that much, Right?
Jackson Turner
why would we let central Banks be a cost in this whole shitshow if we can just run a couple of Miners and cut out the biggest middlemen on the planet - Banks?
Wyatt Turner
>why would we let central Banks be a cost in this whole shitshow
i guess there were no cryptos anywhere near around when central banks were founded...
the main purpose of a central bank originally is to stop bank runs which are akin to cascading panic sells and stop losses in crypto. when trust in a banks solvency is questioned by the public it very well can mean the end of that bank and then it's lenders one after an other. because nobody would lend to a bank in trouble.
the central bank always lends. it's an assurance to the people and everyone involved that banks will remain solvent short term no matter what hits them.
what this system does and what crypto does not is adjust the money supply to need / demand thus let the economy grow much faster. of course when you don't let the system contract that causes problems builds up pressure and all. most importantly bad business stays afloat and poisons the economy.
Connor Peterson
Crypto currency is no better. How can something that originally costs $100 suddenly be worth $6000 just because someone says? What gives it that value? The demand? The demand for what? I don't care about the technology, there needs to be something tangible.
Jason Fisher
Gold and silver negro
Luis Rivera
Markets aren't entirely rational. There's too many moving parts, incomplete information and human emotion. It's worth $6000 if and only if someone buys it from you for $6000.
Elijah Edwards
Gold backed currency works only if the (((bankers))) keep it at a 1:1 ratio.
Somehow they always find a way to fuck it all up
Aiden Bailey
corruption, and massive risk for large groups of citizens. When central banks fail it destroys countries. Just like 2008. Decentralized finance systems are alot more antifragile
James Howard
The only people who get BTFO on silver are the ones that watch one mike malonry video, think the collapse will come tomorrow and went all in on silver @ $50.
Convert 10% of your net pay into precious metals every month for the next 30 years and you will come out on top.
Matthew Hernandez
Big boulder smash head, kill grug.
Grug divide boulder into smaller pieces.
Now boulder no hurt grug or anyone.
Levi Ross
(((Public Interest)))
Anthony Lewis
>No alternative
What, like assets (ie Gold), energy based or work based systems (ie Cryptos or even stocks), mutual credit (private IOUs, ie Holochain) or even just barter? Stop shilling for the bankers, there's a ton of alternatives.